Suzhou Slac Precision Equipment Co.Ltd(300382) (300382)
event:
The company recently issued the restricted stock incentive plan (Draft) for 2021, which plans to grant 2327500 shares to 69 middle-level management and technical (business) backbone personnel, accounting for 0.4% of the total share capital of the company on the announcement date; At the same time, the company issued the fifth employee stock ownership plan (Draft), which set a capital ceiling of 13.7604 million yuan, involving 2.7501 million treasury shares, accounting for about 0.47% of the total share capital of the company, and the transfer price is 5 yuan / share.
Key points of the report:
The stock incentive plan is aimed at the middle-level of the company and is expected to accelerate the promotion of the company’s battery case business
The performance evaluation of the incentive plan is that in 2022 and 2023, the growth rate of net interest rate shall not be lower than 15% and 30% respectively compared with 2021. At present, the company is in a critical period of transformation. The company’s stock incentive plan is for the middle-level of the company, which is expected to accelerate the promotion of the company’s battery case business.
Pushing the employee stock ownership plan is expected to fully mobilize the enthusiasm of employees
The assessment criteria for the first and second unlocking periods of the employee stock ownership plan are: Based on 2021, the company’s total operating revenue (including battery case business) will increase by 100% and 240% respectively in 2022 and 2023. The assessment criteria for the third and fourth unlocking periods are: Based on 2023, the company’s total operating revenue (including battery case business) will increase by 150% and 300% respectively in 2024 and 2025, or the company’s net profit margin will increase by 4pcts and 3pcts respectively year-on-year. The ESOP has established a long-term assessment mechanism for the company, which is expected to fully mobilize the enthusiasm of employees and accelerate the performance growth of the company.
It is proposed to hold Yichun Junzhi, overweight square battery case business
The company adopts a business layout similar to that of cylindrical battery case, and accelerates the business layout of square battery case by establishing a joint venture with mature suppliers. On December 22, 2021, the company disclosed that it had signed an equity investment intention agreement, which agreed that Dongguan Ali would restructure all its battery shell business (square power battery shell) and its control scope to Yichun Junzhi. The company plans to obtain the controlling equity of Yichun Junzhi by adding registered capital and transferring equity. Dongguan Ali battery case business has been certified and entered the supply chain system of some new energy vehicle industry chain manufacturers. The acquisition of the battery case business is expected to accelerate the introduction of ultra-thin metal forming technology and automation process of the company’s high-speed production of power battery cases into the market and promote the implementation of square battery case business.
Investment advice and profit forecast
Considering the global leading position and potential market growth space of the company’s easy to pull lid and tank equipment, and the large volume of battery case business is imminent, it is expected that the company’s net profit attributable to the parent company from 2021 to 2023 will be RMB 117 million, 224 million and 316 million respectively, corresponding to the current PE of 110x, 58x and 41x respectively, maintaining the “buy” rating.
Risk statement
The prosperity of the industry is less than expected, the construction progress of new production capacity is less than expected, and the performance of M & A enterprises fluctuates.
