\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 176 China Jushi Co.Ltd(600176) )
Core view:
Event China Jushi Co.Ltd(600176) released the annual report of 2021, and realized that the operating revenue / net profit attributable to parent company / net profit attributable to parent company after deduction were RMB 19707 / 60.28 / 5.150 billion respectively, with a year-on-year increase of 68.92% / 149.51% / 165.22%. Among them, in Q4 of 2021, the operating revenue / net profit attributable to parent company / net profit attributable to parent company after deduction of non-profit was RMB 5.8711724/1.204 billion, with a year-on-year increase of 54.87% / 51.69% / 51.01%.
The volume and price of glass fiber have risen simultaneously, and the company's performance has reached a new high. In 2021, the company achieved a revenue of 19.707 billion yuan, a year-on-year increase of 68.92%, of which the main business glass fiber and its products business achieved a revenue of 17.845 billion yuan (accounting for 90.55% of the total revenue), a year-on-year increase of 61.55%. In 2021, the glass fiber industry was booming, and the volume and price rose together, driving the high growth of the company's revenue. In terms of sales volume, in the past 21 years, the company achieved the sales volume of 2.3528 million tons of roving and its products, with a year-on-year increase of 13%, and the sales volume of electronic cloth was 440 million meters, with a year-on-year increase of 16%, the highest in history. The substantial growth of sales volume partly benefited from the rapid development of new energy vehicles (automobile lightweight) and PCB industry in the Chinese market, which led to a significant increase in the demand for glass fiber lightweight products and electronic cloth; On the other hand, due to the recovery of overseas markets, foreign trade exports returned to the rising channel in the second quarter of last year, and the export volume of glass fiber increased significantly. In terms of price, the roving price in 21 years was high as a whole. According to the data of Zhuo Chuang information, the average ex factory price of 2400tex wound direct yarn from mainstream glass fiber manufacturers in 21 years was 6088 yuan / ton, up 33.13% year-on-year; The strong demand of PCB industry has driven the sharp increase in the price of electronic yarn in 21 years. The average price of G75 electronic yarn from mainstream manufacturers in 21 years is 15570 yuan / ton, with a year-on-year increase of 87.31%. In addition, the non main business income of RMB 187 million from asset disposal and RMB 690 million from the sale of platinum and rhodium metal confirmed by the relocation of the whole Jushi Chengdu plant further improved the company's performance, making the company's performance a record high.
Effective cost control superimposes the advantages of economies of scale to improve the company's gross profit margin. In 2021, the company achieved a gross profit margin of 45.31%, an increase of 11.53 percentage points over the previous year, of which the gross profit margin of the main business glass fiber and its products reached 49.87%, an increase of 14.73 percentage points over the previous year, and the level of the company's gross profit margin increased significantly. As a leading enterprise in the glass fiber industry, the company continues to accelerate the upgrading of intelligent manufacturing, reduces production costs through technological transformation, and forms a cost control system such as "increasing, saving and reducing work method". In addition, as an enterprise with the largest production capacity in the world, the company has obvious advantages of economies of scale. In the 21st year, the company put into operation several intelligent manufacturing production lines: 150000 tons of glass fiber tank furnace wire drawing production line, 150000 tons of short cut precursor production line, 60000 tons of electronic yarn and 300 million meters of electronic cloth project. In the 21st year, the expansion of the company's production capacity further reduced various fixed costs.
In the past 22 years, the production capacity continued to expand, the scale advantage was enhanced, and the leading position in the industry was further consolidated. It is estimated that the company will continue to put into operation in 2022: Jushi (Tongxiang) intelligent production line with an annual output of 100000 tons of electronic yarn and Jushi Egypt tank furnace drawing production line with an annual output of 120000 tons of glass fiber. With the gradual expansion of the company's production capacity, the scale advantage is continuously enhanced. At the same time, the company occupies a more powerful leading position in product supply capacity and pricing power, so as to further consolidate the leading position of the company in the glass fiber industry.
Structural adjustment is still the future development direction, and there are broad prospects for new application fields in the middle and high-end downstream. The company timely adjusts the product structure according to the changes of market demand, and continuously improves the production and marketing proportion of high-precision, difficult, green and special products. Benefiting from the influence of "double carbon" policy, the certainty of demand in the field of energy conservation and environmental protection will drive the accelerated penetration of glass fiber products; The accelerated expansion of wind power industry is expected to bring greater demand increment to the wind power yarn Market; The lightweight trend of new energy vehicles makes the prospect of glass fiber chopped raw yarn products more broad.
As a leading enterprise in the glass fiber industry, the investment proposal has obvious advantages in cost, scale, technology and brand. With the improvement of the penetration rate of glass fiber products and the continuous adjustment of the company's product structure, the company's business has great room for development. It is estimated that the net profit attributable to the parent company in 22-24 years is 6.5/71/7.9 billion yuan, the earnings per share in 22-24 years is 1.62/1.78/1.96 yuan, and the corresponding P / E ratio is 9.77/8.86/8.04. Maintain the "recommended" rating based on the company's good development expectations.
The risk indicates the risk that the new capacity of the industry exceeds the expectation; The demand of downstream application fields is lower than the expected risk.
