\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 799 Changzhou Xingyu Automotive Lighting Systems Co.Ltd(601799) )
The company released the annual report of 2021: in 2021, the company’s revenue / net profit attributable to the parent company were 7.91 billion / 950 million respectively, with a year-on-year increase of + 8.0% / – 18.1% respectively. Among them, the revenue of 4q21 was 2.25 billion, the same / month on month ratio was – 12.5% / + 31.9%, the net profit attributable to the parent company was 210 million, and the same / month on month ratio was – 16.6% / + 24.9%. This year, the company plans to distribute cash dividends of RMB 11 per 10 shares.
1. Revenue side: the proportion of high-value products increased. In 2021, the company’s revenue was 7.91 billion, a year-on-year increase of + 8.0%. Among them, the revenue of lamp business is 7.05 billion (accounting for 89% in 2021), with a year-on-year increase of + 2.8%. In terms of splitting, the sales of headlights / taillights / small lamps are + 16.5% / – 5.6% / – 7.0% year-on-year respectively, and the proportion of high-value products in the company’s lamp products is increased.
2. Profit side: downward pressure on gross profit margin. Adjusted according to the annual report. 1) Gross profit margin. In 2021, the company’s gross profit margin was 22.1%, a year-on-year increase of -3.9pct. Among them, the gross profit margin of lamp business was 22.9%, with a year-on-year rate of – 3.1pct. In terms of splitting, the main reason was that the proportion of raw materials / labor / manufacturing expenses was + 1.0pct / + 0.9pct / + 1.3pct year-on-year respectively; 2) Cost rate. In 2021, the company’s three fee expense rate was + 0.8pct year-on-year, and the R & D expense rate was + 0.7pct year-on-year (R & D personnel increased by 428 year-on-year); 3) Profit margin. The net profit margin of the company in 2021 was 12.0%, with a year-on-year increase of -3.8pct, mainly due to the pressure on the gross profit margin.
Sufficient order & project reserves, optimistic about the sustainability of the company’s growth
1) abundant orders & development projects: since 2021, the company has undertaken vehicle development projects / batch production of new models / orders of 62 + / 42 + / 17.5 billion yuan respectively (equivalent to 222% of 2021 revenue);
2) promotion of intelligent layout: in 2021, the company developed intelligent headlamp module based on DMD and microled, HMI gesture recognition indoor lamp, matrix indoor lamp and smartrgb atmosphere lamp, and gradually improved the intelligent layout of lamps; At the same time, the company has set up research institutes and R & D centers in Shanghai and Wuhan to actively carry out research on lamps and automotive electronics; 3) Continuous expansion of production capacity: in 2021, the phase II integrated factory and phase III logistics center project of Xingyu intelligent manufacturing industrial park have been put into operation; The construction of Serbia Xingyu is smooth, and the projects from European main engine plants will enter the batch production stage from 2022. On the whole, we believe that the company will fully benefit from the intelligent development of the lamp industry based on customers and technical reserves.
Investment suggestion: we expect the company to achieve operating revenue of 10.12 billion yuan, 12.36 billion yuan and 15.24 billion yuan in 2022, 2023 and 2024, corresponding to net profit attributable to parent company of 1.37 billion yuan, 1.76 billion yuan and 2.3 billion yuan. Calculated by today’s closing price, PE is 30.3 times, 23.6 times and 18.1 times, maintaining the “buy” rating.
Risk tip: the mitigation degree of chip shortage is lower than expected, the rise of raw material cost is higher than expected, and the recovery of automobile market demand is lower than expected
