\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 409 Tangshan Sanyou Chemical Industries Co.Ltd(600409) )
Event 1: Tangshan Sanyou Chemical Industries Co.Ltd(600409) released the annual report for 2021. The company achieved a revenue of 23.182 billion yuan in 2021, a year-on-year increase of + 30.38%, and a net profit attributable to the parent company of 1.671 billion yuan, a year-on-year increase of + 133.04%. Event 2: the company plans to invest a total of 57 billion yuan to build a “three chain group” industrial layout, that is, the “two alkali and one chemical” circular economy industrial chain, the organic silicon new material industrial chain, the fine chemical industrial chain and the “double new” strategic industrial cluster of new energy and new materials, so as to build the company into a leading enterprise in the field of salt chemical industry and new chemical materials in the coastal economic belt. Event 3: the company issued a suggestive announcement on planning the spin off and listing of its holding subsidiary. The company plans to spin off its holding subsidiary Tangshan Sanyou Silicon Industry Co., Ltd. (hereinafter referred to as “Silicon company”) and list on the domestic stock exchange.
The price of main products rose sharply year-on-year, and the company’s annual performance increased significantly year-on-year. The gross profit margin of the company’s sales in 2021 was 22.12%, with a year-on-year increase of 3.83 percentage points, and the net profit margin was 7.98%, with a year-on-year increase of 3.75 percentage points, which was mainly due to the sharp year-on-year increase in the prices of the company’s main viscose staple fiber, soda ash, PVC, silicone and other products, of which the average price of viscose staple fiber was 13381 yuan / ton, with a year-on-year increase of 45.4%, and the average price of heavy soda ash was 2321 yuan / ton, with a year-on-year, The average price of light soda ash was 2225 yuan / ton, a year-on-year increase of + 52.4%, and the average price of silicone was 31189 yuan / ton, a year-on-year increase of + 65.5%. Due to the decline in the operating rate of viscose, soda ash and other products in the fourth quarter, the production and sales volume, and the sharp rise in the prices of raw coal, metal silicon and other products at the end of raw materials, the company’s single quarter profit in the fourth quarter fell month on month.
Invest 57 billion yuan to build the industrial layout of “three chain group” and open up medium and long-term development space. The company invested about 57 billion yuan to build a “three chain group” industrial layout, that is, the “two alkali and one chemical” circular economy industrial chain, the organic silicon new material industrial chain, the fine chemical industrial chain and the “double new” strategic industrial cluster of new energy and new materials, so as to build the company into a leading enterprise in the field of salt chemical industry and new chemical materials in the coastal economic belt of Hebei Province. The implementation of the new plan will further optimize and strengthen the company’s circular economy industry, and the overall competitiveness will reach a new level. At the same time, it will gradually transform and upgrade to the field of new materials, opening up the medium and long-term development space of the company.
The silicone business will be split and listed separately to expand and strengthen the silicone new material industry. Silicone series products are an important part of the new material industry and an important basic material for the development of seven strategic emerging industries proposed by the State Council. The silicone monomer production capacity of the silicon company is 200000 tons / year, the monomer production capacity under construction is 200000 tons, and the annual production capacity will reach 400000 tons / year after reaching the production capacity. Downstream products have gradually formed six categories and nearly 100 varieties, covering DMC, dimethyldichlorosilane hydrolysate, 107 glue, 110 glue, high hydrogen containing silicone oil, high boiling silicone oil, electrical parts packaging glue, etc., which are widely used in aerospace, medical and health, construction, daily chemical and other important fields. The split listing will help expand and strengthen the new silicone material industry with the help of capital market forces, and improve the profitability and comprehensive competitiveness of silicon companies.
Profit forecast and investment suggestions: we expect the net profit attributable to the parent company from 2022 to 2024 to be 2.176 billion yuan, 2.415 billion yuan and 2.664 billion yuan respectively, with a year-on-year ratio of 30.2% / 11.0% / 10.3%, EPS of 1.05, 1.17 and 1.29 yuan / share, and the corresponding PE of the current stock price is 7.8/7.0/6.4 times, maintaining the “buy” rating.
Risk tips: the release progress of new capacity exceeds expectations, raw material procurement and exchange rate risks, environmental protection and safety production risks, the growth rate of downstream demand slows down significantly, and the project production progress is less than expected.
