On March 17, 2022, the Shanghai Composite Index closed at 321504 points, up 1.40%; The Shenzhen Component Index closed at 1228997 points, up 2.41%. The Chongqing composite index, which we focus on, closed at 359030 points, up 2.60%; Sichuan composite index closed at 840612 points, up 1.52%. The top three stocks of Listed Companies in Sichuan and Chongqing are: Chengdu Shenleng Liquefaction Plant Co.Ltd(300540) ( Chengdu Shenleng Liquefaction Plant Co.Ltd(300540) , 12.51%), Sichuan Xun You Network Technology Co.Ltd(300467) ( Sichuan Xun You Network Technology Co.Ltd(300467) , 11.27%), Chengdu Jafaantai Education Technology Co.Ltd(300559) ( Chengdu Jafaantai Education Technology Co.Ltd(300559) , 10.67%). The 42 companies we focused on rose by an average of 2.72%, among which the top three stocks were: Chengdu Shenleng Liquefaction Plant Co.Ltd(300540) ( Chengdu Shenleng Liquefaction Plant Co.Ltd(300540) , 12.51%), Chengdu Jafaantai Education Technology Co.Ltd(300559) ( Chengdu Jafaantai Education Technology Co.Ltd(300559) , 10.67%), Sichuan Injet Electric Co.Ltd(300820) ( Sichuan Injet Electric Co.Ltd(300820) , 10.29%). By industry, the top three sectors in Sichuan and Chongqing are: real estate (4.76%), medicine and Biology (3.76%) and media (3.11%).
Shede Spirits Co.Ltd(600702) released the annual report for 2021 and the performance forecast for the first quarter of 2022. In 2021, the company achieved an operating revenue of 4.969 billion yuan, a year-on-year increase of 83.80%, and a net profit attributable to shareholders of listed companies of 1.246 billion yuan, a year-on-year increase of 120.89%. The company expects to realize a net profit of 460560 million yuan attributable to shareholders of Listed Companies in the first quarter of 2022, with a year-on-year increase of 52% – 85%. Despite the impact of the economic cycle and social consumption weakness, the consumption of liquor during the Spring Festival has declined. However, the consumption of high-end liquor and sub high end liquor has long-term toughness. From the channels and the disclosure of data from Baijiu enterprises, the sales of high-end liquor have maintained steady growth, and the high-end liquor has continued to expand. The consumption of Sichuan and Chongqing is stable and good. With the gradual development of Shuangcheng economic circle, a large number of major projects will continue to fall. This will help to keep the economic activities in Sichuan and Chongqing areas active and promote Baijiu consumption. It is estimated that the annual performance of Sichuan liquor is strong and it is suggested that Wuliangye Yibin Co.Ltd(000858) , Luzhou Laojiao Co.Ltd(000568) and so on.
Industry dynamics
Chengdu Municipal Bureau of statistics released the operation data of Chengdu’s service industry in 2021. In 2021, the added value of Chengdu’s service industry reached 132.19 billion yuan, an increase of 9.0% over the previous year, 0.4 percentage points higher than the economic growth, accounting for 66.4% of the total economy and 69.4% of the city’s economic growth. (China News Network)
Company dynamics
Chengdu Xinzhu Road&Bridge Machinery Co.Ltd(002480) ( Chengdu Xinzhu Road&Bridge Machinery Co.Ltd(002480) ): the annual report of 2021 was issued. In 2021, the company achieved an operating revenue of 1.249 billion yuan, a year-on-year decrease of 46.67%, and a net loss of 286 million yuan, a year-on-year increase of 578.99%. （wind）
Ikd Co.Ltd(600933) ( Ikd Co.Ltd(600933) ): the annual report of 2021 was issued. In 2021, the company achieved an operating revenue of 3.206 billion yuan, a year-on-year increase of 23.75%, and a net profit attributable to shareholders of listed companies of 310 million yuan, a year-on-year decrease of 27.24%. （wind）
Risk warning: the economic recovery is lower than expected and the risk of covid-19 outbreak.
