\u3000\u30003 An Hui Wenergy Company Limited(000543) 00054)
Event: the alumina polishing solution product of Wuhan dingze, a subsidiary of the company, passed the alcmp process verification of the customer’s 28nm node HKMG process and entered the ton level procurement stage. The company broke through the technical difficulties of alumina abrasive particles and polymer, and realized the independent preparation of three key materials in this polishing solution, marking a substantial breakthrough in the company’s polishing solution products both at the technical end and at the client end.
The layout of CMP materials has been further improved and continued to grow in large quantities. At present, the company has become the only CMP manufacturer in China and the only domestic supplier in non China, and has achieved a high market share in the company’s important customers. With the expansion of the company’s main downstream customers and the continuous improvement of the company’s penetration rate, the company’s cmppad demand is expected to increase rapidly and its performance continues to grow in large quantities. The announcement also fully reflects that the company has made breakthrough progress in the field of polishing fluid by relying on 20 years of technology accumulation in the field of chemical materials and engineering. In addition, the company has also released related products in diamond discs, cleaning fluids and other CMP materials, realizing a breakthrough in multi-dimensional products.
The production volume of PI and other composite materials manufacturers is expected to enter the 22-year production period. In addition to cmppad, a business with ultra-high certainty, which will enter the large-scale stage in 2022, according to the quarterly report of the company, the CMP cleaning solution of copper process has been tested in many customers and has entered the large-scale test stage of client products; In terms of capacity, the 2000 ton capacity of Wuhan headquarters is expected to complete equipment commissioning and trial production this year; In terms of PI business, YPI has obtained stable ton batch orders, and new products PSPI and ink are in the stage of customer promotion. We believe that during the period when the company’s first growth line cmpad gradually develops synchronously outside China, other electronic material products are expected to gradually promote the development of the company’s ceiling and future space, and open the second / third growth curve.
Printing and copying consumables stabilized and recovered, and are expected to gradually return to stability in the future. In the first three quarters of 2021, the company’s general consumables for printing and copying achieved a revenue of 1.46 billion yuan, a year-on-year increase of 20%. Among them, the upstream chip business of consumables has increased significantly, the business advantages of color toner and recycled ink cartridge are stable, and the market competition of toner cartridge is still fierce. However, the toner cartridge business of Chaojun technology has begun to show a steady recovery trend based on the loss in 2021h1.
Profit forecast and investment suggestion: as a supplier of consumables (PAD / liquid / dish / washing) in the whole CMP process, Dinglong has gradually increased its volume in multiple product dimensions to become a manufacturer of CMP consumables solutions. In addition, the company also focuses on PI slurry and other related panel materials; Semiconductor packaging materials are laid out, and semiconductor and electronic material platform manufacturers have gradually built and formed. With the steady growth of semiconductor material market and the general trend of domestic substitution, the main CMP and PI slurry is expected to bear the brunt, become the first and second growth curves of the company, and the revenue ceiling continues to open. We expect that the total revenue of the company will reach RMB 2.478/31.50/4.032 billion in 2021, 2022 and 2023 respectively, and the net profit attributable to the parent company will be RMB 202 / 3.91/604 million, corresponding to the current valuation of 90.0/46.4/30.1x, maintaining the “buy” rating.
Risk tip: downstream demand is less than expected.
