\u3000\u30003 Guangdong Piano Customized Furniture Co.Ltd(002853) 00285)
Event description
On March 9, the company announced its 2021 annual report. According to the announcement, the company achieved a revenue of 3.162 billion yuan in 2021, a year-on-year increase of 24.37%; The net profit attributable to the parent company was 795 million yuan, a year-on-year increase of 38.57%.
The operation of the company continues to improve, and the rapid expansion of production drives the future growth of performance
In 2021, the company achieved a total operating revenue of 3.162 billion yuan, an increase of 24.37% over the same period of last year; The net profit attributable to shareholders of listed companies was 795 million yuan, an increase of 38.57% over the same period last year; The net profit attributable to shareholders of listed companies after deducting non recurring profits and losses was 699 million yuan, an increase of 29.61% over the same period of last year.
Among them, the revenue of electronic materials reached 1.046 billion yuan, a year-on-year increase of 19.53%; The revenue of catalytic materials was 417 million yuan, a year-on-year increase of 32.18%; The biomaterials sector achieved a revenue of 695 million yuan, a year-on-year increase of 19.44%; Building ceramic materials achieved a revenue of 814 million yuan, a year-on-year increase of 19.77%.
In terms of capacity construction of electronic materials and MLCC powder, the company’s downstream customers, including Samsung motor, Guang Dong Fenghua Advanced Technology (Holding) Co.Ltd(000636) , Taiwan Guoju, Chaozhou Three-Circle(Group) Co.Ltd(300408) etc., are actively expanding their capacity, with a significant increase in procurement demand. The company’s MLCC medium materials continue to prosper in production and sales. Based on the 2500 t / a capacity of the original raised investment project, the company will add 2500 t / A and expand the plant. After reaching the production capacity, the company’s MLCC medium material capacity will reach 15000 T / A to meet the growing demand of the downstream; In terms of high-purity ultra-fine alumina and boehmite materials, in addition to diaphragm coating, the company’s products are also gradually used in the pole coating market. It is expected that more lithium battery manufacturers will use them for pole coating in the future. The company will also benefit more from the rapid growth of new energy lithium battery industry. In 2022, the company will continue to expand production capacity, It is expected that the production capacity of high-purity ultra-fine alumina will be gradually expanded to 30000 tons / year and boehmite to 100000 tons / year within three years to meet the strong demand of lithium battery raw material market. In terms of dental business license qualification, with the gradual introduction of resources to aerchuang by strategic investors, the number and types of clinical certificate applications of aerchuang increased orderly and steadily. In the fourth quarter of 2021, one business license qualification and one medical device product registration were added.
Share repurchase demonstrates the management’s confidence in the company’s long-term intrinsic value
On January 11, the company issued the announcement on the share repurchase plan of the company, which plans to repurchase some shares of the company by means of centralized bidding transaction. The total amount of funds to be repurchased shall not be less than 150 million yuan and not more than 300 million yuan, and the repurchase price shall not exceed 55 yuan / share. The repurchased shares will be used in the equity incentive plan or employee stock ownership plan.
The capital source of this share repurchase is the company’s own funds. As of the third quarter, the book value of the company’s monetary funds was 16430676 million yuan, and the net cash flow generated by the company’s operating activities was 2525424 million yuan. Therefore, the total amount of repurchase funds will not have a significant impact on the company’s asset liability ratio, interest bearing debt ratio and cash flow, The implementation of repurchase will not have a significant impact on the company’s financial risk level.
As of February 28, 2022, the Company repurchased 3451268 shares of the company through the special securities account for stock repurchase through centralized bidding transaction, accounting for 0.3438% of the total share capital of the company. The highest transaction price was 41.68 yuan / share, the lowest transaction price was 39.22 yuan / share, and the total transaction amount was 1389213938 yuan (excluding transaction costs).
“Industrialization project of new inorganic dispersion for display” won the first place in the competition enterprise group
According to the news of Shandong new material industry association on December 9, 2021, in the final of the second Shandong new material industry innovation and entrepreneurship competition, Shandong Sinocera Functional Material Co.Ltd(300285) won the first place in the enterprise group by virtue of the industrialization project of new inorganic dispersion for display. The research and development of the project is mainly aimed at the physical harm of the display screen to the majority of the audience and the problem of large power consumption. By adding inorganic dispersion functional layer, the refractive index can be adjusted to reduce eye damage and greatly reduce energy consumption. The key to the successful R & D of this new material lies in the accumulation of core technology for Shandong Sinocera Functional Material Co.Ltd(300285) years, which has solved the “neck sticking” problem of China in this field, filled the technical gap, broken the foreign monopoly and effectively promoted the development of the industry.
Based on the company’s deep cultivation achievements in hydrothermal technology and the independently developed inorganic powder surface modification technology, the project develops the product BPMA (biphenyl methanol acrylate) zirconia dispersion, benchmarking the Japanese catalyst product BZA (benzyl acrylate) zirconia dispersion and the Korean KPX product PBA (3-phenylbenzylacrylate) zirconia dispersion. The refractive index of the product is as high as 1.70. The core index of the product is higher than that of similar foreign products. At the same time, it also performs well in other performance indexes such as light transmittance, viscosity and stability. The research and development of product dispersion of this project breaks the monopoly pattern of Japanese and Korean enterprises on key raw materials of new display, fills the technical gap of key optical materials in the field of new display in China, solves the key “neck” technology applied by Chinese new display enterprises, and is conducive to promoting the comprehensive localization and substitution of key technologies of new display in China.
Hainan subsidiary and Singapore subsidiary have been established successively, and the comprehensive strength of the company is expected to be further enhanced. On December 3, 2021, the company issued the announcement on the company’s investment in the establishment of wholly-owned subsidiaries, which disclosed that in order to meet the needs of future business development, further enhance the comprehensive strength and enhance the market competitiveness, The company invested 10 million yuan with its own funds to establish a wholly-owned subsidiary Hainan guoci new materials Co., Ltd. in Hainan.
In 2020, the State Administration of Taxation and Hainan Provincial Taxation Bureau issued a notice on issues related to the preferential policies for enterprise income tax in Hainan free trade port. The notice mentioned that enterprises in encouraged industries should reduce the tax rate by 15% to levy enterprise income tax and that income from new overseas direct investment in Tourism, modern service industry and high-tech industries should be exempted from enterprise income tax. In addition, in 2021, the Ministry of Finance and the State Administration of Taxation issued the catalogue of preferential income tax for enterprises in tourism, modern service industry and high-tech industry of Hainan free trade port, which includes ceramic raw material production enterprises. We believe that this policy is expected to help the business development of Hainan subsidiary.
On January 5, 2022, the company issued the announcement on establishing a wholly-owned subsidiary in Singapore, which disclosed that based on the consideration of strategic planning and business development, the company hopes to make full use of Singapore’s advantages in international finance and international trade, further strengthen international cooperation and trade, accelerate the internationalization process of the company, so as to improve its core competitiveness and enhance its comprehensive strength, The company invested S $100000, and took the wholly-owned subsidiary Hainan guoci new materials Co., Ltd. as the main investor to invest and establish a wholly-owned subsidiary sinocera (Singapore) Pte.Ltd. in Singapore,.
Continue to promote the linkage of standards, patents and R & D, and build the company’s high-tech barriers
Guoci has attached great importance to intellectual property work since its inception. The company has made solid and effective progress in the strategic construction of intellectual property, the layout of invention patents, and the linkage of standards, patents and R & D, and has made important achievements.
At present, the company has accumulated seven core technologies such as hydrothermal technology and formula technology, and has passed the certification of multiple platforms such as national enterprise technology center, National Postdoctoral research workstation, national CNAs accreditation laboratory, Shandong technological innovation center, Shandong new material pilot test base and Shandong public training base, and the platform construction mode can be copied and iterated quickly. In 2021, the annual R & D expenditure was 206 million yuan, with a year-on-year increase of 28.09%.
By the end of 2021, the company had newly authorized 75 patents, including 53 invention patents, 9 utility models, 5 designs and 8 foreign patents. Among them, one patent won the 22nd China Patent Excellence Award. The company has newly participated in or led one international standard, four national standards, one industry standard and two group standards; One international standard, three national standards and one group standard were newly issued. According to the statistics of China HowNet patent search caliber, in the fourth quarter of 2021, Shandong Sinocera Functional Material Co.Ltd(300285) a total of 20 patents were authorized to be disclosed, involving the fields of MLCC barium titanate powder, zirconia powder and catalytic materials.
Investment advice
It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be RMB 1086 million, RMB 1385 million and RMB 1680 million respectively, with a year-on-year growth rate of 36.6%, 27.5% and 21.3%. The corresponding PE was 30.89, 24.22 and 19.96 times respectively. Maintain the “buy” rating.
Risk tips
The expansion rhythm of new products or industrial chain is less than expected; The expected effect of CBS management system is not achieved temporarily; The distribution speed of dental strategic resources was lower than expected; Risk of unstable implementation progress of national six standards; Risk of MLCC order fluctuation; Risk of unstable 5g construction progress.
