\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 366 Ningbo Yunsheng Co.Ltd(600366) )
Event: on March 15, 2022, the company released its 2021 annual report. In 2021, the company achieved a revenue of 3.754 billion yuan, a year-on-year increase of 56.5%; The net profit attributable to the parent company was 518 million yuan, a year-on-year increase of 191.5%; Net profit deducted from non parent company was 356 million yuan, with a year-on-year increase of 426.4%. In 2021q4, the company achieved a revenue of 1.156 billion yuan, an increase of 70.2% year-on-year and 16.3% month on month; The net profit attributable to the parent company was 144 million yuan, with a year-on-year increase of 295.7% and a month on month increase of 6.4%; The net profit deducted from non parent company was 89 million yuan, with a year-on-year increase of 949.9% and a month on month increase of 8.6%. The performance is in line with the previous forecast.
In 2021, the revenue increased by 56.5% year-on-year, and the net profit attributable to the parent company increased by 191.5% year-on-year. In terms of revenue splitting, the revenue in the field of new energy vehicles exceeded 700 million yuan, with a year-on-year increase of more than 350%, accounting for 21%, which is the fastest growing field; The company's traditional strength in the field of consumer electronics has a revenue of more than 1 billion yuan, with a year-on-year increase of more than 25%, accounting for 30%; The revenue of industrial application field exceeded 1.5 billion yuan, with a year-on-year increase of 36%, accounting for 45%. The change in product structure led to a year-on-year increase in gross profit margin of 3.6pct to 26.26%. In terms of production and sales volume, the sales volume of neodymium iron boron finished products increased by 72.75% year-on-year to 7746 tons, which may be the main reason for the profit growth.
In 2021q4, the company realized a net profit attributable to the parent company of 144 million yuan, a month on month increase of + 8.63 million yuan. The two factors with large changes are that the income from changes in fair value increased by 304 million yuan month on month and the income from other / investment decreased by 283 million yuan month on month. The reason is that the company holds Zhongshan Broad-Ocean Motor Co.Ltd(002249) about 17 million shares, which is the top ten shareholders of Zhongshan Broad-Ocean Motor Co.Ltd(002249) and reduced its holdings in the third quarter to obtain a certain amount of investment income. Other profit increasing points are gross profit (+ 35.2 million yuan) and income tax (+ 2017 million yuan). The increase in gross profit may be mainly due to the increase in the output of Nd-Fe-B magnetic steel; Other profit reduction points include non operating profit (- 40.07 million yuan), impairment loss (- 24.55 million yuan), minority shareholders' profit and loss (- 1.92 million yuan), expenses and taxes (- 1.77 million yuan).
From the perspective of expense rate, the sales and management expense rate continued to decline, and the R & D expense remained at a high level. Q4's sales expense ratio is 0.9%, management expense ratio is 3.2%, and financial expense ratio is 1.3%. The month on month change is - 0.8pct / - 0.7pct / + 0.4pct respectively. Q4's R & D expense is 62.72 million yuan, and the R & D expense ratio is 5.4%, which remains at a high position. Expand product categories through R & D investment, improve product added value and thicken profits.
Focus on the main business of magnetic material business, weaken investment and motor business, and fully benefit from the prosperity of NdFeB magnetic material industry. The company's magnetic material business focuses on the segmentation direction of high gross profit such as consumer electronics, new energy vehicles and industrial automation, and its products and customers are relatively high-end. After 2018, the company gradually tightened its investment business, stripped off the servo motor business in 2020, further focused on its main business and avoided the competitive relationship with customers. Bind core technology and management personnel through measures such as employee stock ownership and equity incentive to stimulate team vitality.
Investment suggestion: at present, the company has an annual output of 12000 tons of NdFeB blank. It is expected that the company will have a production capacity of 21000 tons by the end of 2022. With the rapid growth of production capacity, it is expected to fully benefit from the prosperity of the industry. It is estimated that the company will realize the net profit attributable to the parent company of RMB 669 million, 777 million and 977 million from 2022 to 2024, with EPS of RMB 0.68, 0.79 and 0.99 respectively; The PE corresponding to the closing price on March 15 was 16, 14 and 11 times respectively, maintaining the "recommended" rating.
Risk tip: the product price has fallen sharply, and the project progress does not meet expectations.
