\u3000\u3 Shengda Resources Co.Ltd(000603) 078 Jiangyin Jianghua Microelectronics Materials Co.Ltd(603078) )
China’s leading wet electronic chemicals, with high performance growth in the fourth quarter of 2021, maintained the “buy” rating
The company released its annual report for 2021 on March 14, 2022. The company achieved a revenue of 792 million yuan in 2021, a year-on-year increase of + 40.50%; The net profit attributable to the parent company was 57 million yuan, a year-on-year increase of – 2.90%; Deduct non net profit of 53 million yuan, a year-on-year increase of + 7.82%; The gross profit margin was 22.15%, with a year-on-year increase of -3.67pcts. It is calculated that the company achieved a revenue of 253 million yuan in a single quarter in 2021q4, a year-on-year increase of + 62.48% and a month on month increase of + 23.63%; The net profit attributable to the parent company was 29 million yuan, a year-on-year increase of + 84.70% and a month on month increase of + 128.96%; Deduct non net profit of 27 million yuan, a year-on-year increase of + 140.71% and a month on month increase of + 111.03%. The high performance growth in 2021q4 is mainly due to the decline in the price of the company’s upstream raw materials and the increase in the price of the company’s products. With the intensive production of China’s downstream semiconductor and panel industry, the release of the company’s new production capacity and the upgrading of product structure, the inflection point of the company’s performance has come and the growth momentum is sufficient. We maintain the performance forecast for 20222023 and add the performance forecast for 2024, It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be RMB 156 / 239 / 359 million, the corresponding EPS will be RMB 0.80 / 1.22 / 1.83, and the corresponding PE of the current stock price will be 33.5 / 21.9 / 14.6 times, maintaining the “buy” rating.
The prosperity of the industry is high, the projects in each base are progressing smoothly and the growth momentum is sufficient
In terms of revenue by industry, the proportion of semiconductor / panel / Cecep Solar Energy Co.Ltd(000591) has been adjusted from 38% / 54% / 6% in 2020 to 49% / 45% / 4% in 2021 respectively. The proportion of semiconductor revenue has increased by 11pcts. Companies in the semiconductor field have gradually increased their volume in high-end semiconductor customers such as Shilan Jike and Changdian advanced. In terms of business, in 2021 (1), the company’s ultra net high-purity reagent business revenue was 493 million yuan, with a year-on-year increase of + 61.47%, a gross profit margin of 22.75%, and a year-on-year increase of -0.6pcts. It successfully imported a number of 12 inch semiconductors, and the sales of 8-12 inch semiconductors reached 79 million yuan; (2) The revenue of photoresist supporting reagent business was 279 million yuan, with a year-on-year increase of + 14.92% and a gross profit margin of 22.48%, with a year-on-year increase of -7.34pcts. The company’s stripping cleaning agent, multi-functional etching solution and other products passed a large number of tests and sales by multiple customers, and the market share was increased. The company’s IPO raised investment project has been accepted and put into operation, with increased production capacity and improved product grade. In terms of sub bases: (1) the 58000 T / a project of phase I of Zhenjiang base is in the trial production stage and is expected to be put into operation in April 2022. After the G5 level of Zhenjiang base is completed and put into operation, the problem of “neck sticking” in this field will be solved; (2) The 60000 T / a mixed distribution project of phase I of Sichuan base has been officially put into operation at the end of 2021. The 32000 T / a of phase II is in the stage of equipment commissioning, and the company has sufficient growth momentum.
Risk tip: raw material price fluctuations, capacity expansion is less than expected, and market competition intensifies.
