\u3000\u3 Shengda Resources Co.Ltd(000603) 659 Shanghai Putailai New Energy Technology Co.Ltd(603659) )
Event: Shanghai Putailai New Energy Technology Co.Ltd(603659) disclosure of the 2021 annual report.
The performance is in line with expectations, and the data in the fourth quarter is excellent. In 2021, the company achieved a revenue of 8.996 billion yuan, a year-on-year increase of + 70%; The net profit attributable to the parent company was 1.749 billion yuan, a year-on-year increase of + 162%; The net profit deducted from non parent company was 1.66 billion yuan, a year-on-year increase of + 166%. Net profit attributable to parent and net profit deducted from non attributable to parent fell to the median value of the previous performance forecast range, which was in line with expectations.
In 2021q4, the company achieved a revenue of 2.7 billion yuan, a month on month increase of + 13.8%; The net profit attributable to the parent company was 518 million yuan, a month on month increase of + 13.5%; The net profit deducted from non parent company was 503 million yuan, a month on month increase of + 14.4%.
Good cost control and obvious improvement of profitability. In 2021, the company’s gross profit margin was 35.65%, with a year-on-year increase of + 4.07pcts; The net interest rate was 19.82%, with a year-on-year increase of + 6.05pcts. Integration and process iteration have brought significant results in cost reduction and efficiency increase, and good cost control. In terms of expense rate, the sales / management / R & D / financial expense rate is 1.68% / 4.08% / 6.03% / – 0.06% respectively. R & D investment continued to increase, and sales and financial expenses improved significantly year-on-year.
Negative electrode business: the self supply rate of graphitization exceeds 70%, and the cost and new technology maintain leading advantages: (1) financial data: the revenue is RMB 5.129 billion, a year-on-year increase of + 41%, accounting for 57% of the total revenue. The sales volume is 97200 tons, with an average selling price of 52800 yuan / ton. The gross profit is 1.513 billion yuan, the gross profit rate is 29.49%, and the average gross profit is 15500 yuan / ton. (2) Capacity: by the end of the 21st century, the effective capacity of the negative electrode of the company had exceeded 150000 tons, supporting 110000 tons of graphitization and 100000 tons of carbonization processing capacity, and the self supply rate of graphitization was as high as 73%, ranking in the forefront of the industry. With the construction of the first phase of Sichuan integration with a capacity of 100000 tons, we expect the negative electrode capacity of the company to reach 250000 tons by the end of 22. The production capacity is expected to reach 400000 tons by 24 years. (3) New process and technology: the first generation of silicon oxide products have entered the stage of mass production and introduction. The technology development of silicon-based products such as high-capacity nano silicon carbon has been completed, and the company has rich technical reserves of new products. For the current artificial graphite products, the company accelerates the development of low-cost raw materials, actively promotes the use of new continuous equipment, and continuously optimizes and improves the raw material cost and process links.
Diaphragm and coating business: the development of the second growth curve exceeded expectations, the upstream and downstream layout was improved, and the introduction of customers was accelerated. (1) Financial data: the revenue was 2.195 billion yuan, a year-on-year increase of + 171%, accounting for 24% of the total revenue. The sales volume is 2.171 billion square meters, with an average selling price of 1.01 yuan / square meter. The gross profit is 875 million yuan, the gross profit rate is 39.85%, and the average gross profit is 0.4 yuan / m2. (2) Capacity: by the end of the 21st century, the company had a base film capacity of 100 million square meters, a coating processing capacity of 4 billion square meters, and a capacity of 8000 tons of nano alumina and boehmite and 5000 tons of PVDF. In 2024, it is expected to reach 1.3 billion flat base film, 10 billion flat coating processing and 25000 tons of PVDF production capacity. (3) Customer: 5 μ M base film products are expected to be batch supplied through overseas customer certification in 22 years, and the coating processing business is progressing smoothly for Ningde, LG, ATL and other customers.
Other businesses: aluminum plastic film ushers in domestic substitution opportunities, and lithium battery equipment is in hand with abundant orders. (1) Aluminum plastic film: 11.48 million square meters were shipped in 21 years, with a year-on-year increase of + 51%; The gross profit margin was + 78.7pcts% year-on-year. Digital products have been mass produced in high-end customers, power products have been mass produced in small power and energy storage fields, and vehicle specification level customer certification has been passed. (2) Equipment: 21 year revenue (including internal sales) was 1.368 billion yuan, a year-on-year increase of + 109%. The orders of coating / automation equipment on hand exceed 4 / 1.1 billion yuan (including tax) respectively.
Equity incentives set high performance targets to demonstrate confidence in long-term development. The company previously launched the draft equity incentive plan for 2022, which plans to grant 7.4383 million shares, accounting for about 1.07% of the total share capital of the company, with a total of 78 recipients. Among them, the performance assessment target of stock option incentive for the company is that the net profit attributable to the parent company in 22 / 23 / 24 years is not less than 2.6/4/5.4 billion yuan, corresponding to the annual growth rate of 49% / 54% / 35%, which shows the sufficient confidence of the management in the long-term growth of the company.
Profit forecast and Valuation: the two main businesses of negative electrode and diaphragm of the company continue to develop at a high speed. Under the trend of localization and substitution of aluminum-plastic film, the first mover advantage is obvious. The logic of the company is smooth and the company continues to be optimistic. We expect the company to realize a net profit attributable to the parent company of RMB 2.726/40.96/5.364 billion from 2022 to 2024, with a year-on-year increase of 55.9% / 50.3% / 31.0% respectively, and the corresponding PE is 36.2/24.1/18.4 times respectively, maintaining the “overweight” rating.
Risk warning: downstream demand is less than expected; The company’s capacity construction is less than expected; New product development is not as expected; Policy change risk
