\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 760 Avic Shenyang Aircraft Company Limited(600760) )
The company issued a performance announcement for 2021. In 2021, the operating revenue reached 34.088 billion yuan, a year-on-year increase of + 24.79%; The net profit attributable to the parent company was 1.696 billion yuan, a year-on-year increase of + 14.56%, lower than the market expectation; The net profit deducted from non parent company was 1.597 billion yuan, a year-on-year increase of + 69.93%. The basic earnings per share was 0.87 yuan, a year-on-year increase of + 14.47%. During the reporting period, the company’s main economic indicators increased significantly, the main efficiency indicators continued to improve, the iteration and leap of aviation defense equipment accelerated, and the business of civil aviation products continued to develop stably.
The company issued the announcement of pre increase of performance in the first quarter of 2022. It is estimated that the net profit attributable to the shareholders of the listed company in the first quarter of 2022 will be about 509 million yuan, an increase of about 163.92 million yuan compared with the same period of last year, a year-on-year increase of about + 47.50%, and the performance will increase significantly. It is estimated that the net profit attributable to shareholders of listed companies after deducting non recurring profits and losses in the first quarter of 2022 will be about 459 million yuan, an increase of about 169.72 million yuan compared with the same period of last year, with a year-on-year increase of about + 58.67%. The substantial increase in performance is mainly due to the company’s comprehensive focus on the main responsibility and main business, and the operating revenue is expected to increase by about 29.00% year-on-year, laying a solid foundation for completing the annual production and operation tasks with high quality.
Aviation products maintained steady growth. In 2021, the company’s aviation product business revenue reached 33.685 billion yuan, a year-on-year increase of + 24.79%; Other business income reached 110 million yuan, a year-on-year increase of – 8.18%.
In 2021, contract liabilities increased significantly, and the prosperity of the downstream industry continued to improve. As of the beginning of the year, the company’s contract liabilities increased by 67.52 billion yuan, which was mainly due to the significant increase of contract orders received by the company as of the end of the reporting period, which was 67.52 billion yuan. By the end of the reporting period, the company’s prepayment was 21.676 billion yuan, a year-on-year increase of + 308545%; The company’s deposit was 21.616 billion yuan, a year-on-year increase of + 71.13%. The company received large orders, which indicates that the downstream demand is strong, the company’s production tasks increase, resulting in the increase of procurement, and the improvement of downstream prosperity has been further verified.
Investment suggestion: the company has entered the accelerated period of military aircraft replacement, with strong downstream demand. As a fighter main engine factory, the company is scarce, and the number of contract orders has increased significantly. It is optimistic about the development of the company during the 14th Five Year Plan period. As the company’s performance in 2021 is lower than expected, the profit forecast for 20222024 is adjusted accordingly. It is expected that the net profit attributable to the parent company in 20222024 will be 2.243 billion yuan, 2.892 billion yuan and 3.616 billion yuan respectively, and the PE will be 51 times, 40 times and 32 times, maintaining the rating of “prudent recommendation”.
Risk warning: the number of new orders is less than expected; Untimely upstream supply affects production; Procurement risk.
