\u3000\u30 Jinzai Food Group Co.Ltd(003000) 37 Shenzhen Capchem Technology.Ltd(300037) )
Events
On March 28, the company released its 2021 annual report. In 2021, the company achieved an operating revenue of 6.951 billion yuan, a year-on-year increase of + 134.8%, and the net profit attributable to the parent company was 1.306 billion yuan, a year-on-year increase of + 152.4%. The performance was in line with expectations. At the same time, the company released the performance forecast for the first quarter of 2022. It is estimated that the net profit attributable to the parent company in the first quarter of 22 years will be 482 million yuan – 513 million yuan, a year-on-year increase of + 210% – 230%; + 9.8% – 16.9% month on month.
Business analysis
The volume and price of battery chemicals rose simultaneously, and other businesses grew steadily. The operating revenue of the company’s battery chemicals business (mainly electrolyte, etc.) was 5.269 billion yuan, with a year-on-year increase of + 217.6%, and a gross profit margin of 31.63%, with a year-on-year increase of + 5.87pct. The operating revenue of capacitive chemicals business was 711 million yuan, with a year-on-year increase of + 32.5%, and a gross profit margin of 38.54%, with a year-on-year increase of -0.04pct. The operating income of organic fluorine chemicals was 692 million yuan, a year-on-year increase of + 23.36%, and the gross profit margin was 63.93%, a year-on-year increase of -2.89 PCT. The operating revenue of semiconductor chemicals was 214 million yuan, a year-on-year increase of + 36.39%, and the gross profit margin was 28.69%, a year-on-year increase of + 4.75pct. The sales expense rate, management expense rate, R & D expense rate and financial expense rate are 1.69%, 5.87%, 5.86% and 0.1% respectively, with excellent expense control.
There are abundant projects under construction to support long-term growth. The company announced that a total investment of 3.183 billion yuan was invested to build the following projects: 1. Hankang electronic materials “lithium battery additive project with an annual output of 59600 tons”; 2. Tianjin Shenzhen Capchem Technology.Ltd(300037) semiconductor chemicals and lithium battery materials project; 3. Sanming haisifu “high end fluorine fine chemicals project (phase II)”; 4. “Jingmen lithium battery project” with an annual output of 28000 tons; 5. Replenish working capital. Among them, the total amount of funds raised by the proposed issuance of convertible bonds shall not exceed 2 billion yuan. We believe that the above layout will help the company comply with the rapid development of new energy vehicles and ensure the coordinated development of battery chemicals, organic fluorine and semiconductor chemicals.
Profit forecast and investment suggestions
The company’s production capacity is gradually expanded. We expect the net profit attributable to the parent company from 2022 to 2024 to be 1.988 billion yuan (+ 26.2%), 2.282 billion yuan (+ 19.4%) and 2.57 billion yuan (newly introduced) respectively; EPS is 4.82 yuan, 5.53 yuan and 6.23 yuan respectively, and the current market value corresponding to PE is 16.49x/14.36x/12.75x respectively, maintaining the “buy” rating.
Risk tips
The progress of capacity construction and launch is less than expected; Electrolyte price fluctuation risk; Price fluctuation risk of raw materials; The sales volume of new energy vehicles is lower than expected; Safety and environmental protection risks
