\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 760 Avic Shenyang Aircraft Company Limited(600760) )
In 2021 and 22q1, the revenue and profit maintained high growth: in 2021, the company realized an operating revenue of 34.09 billion yuan, a year-on-year increase of 24.79%; The net profit attributable to the parent company was 1.695 billion yuan, a year-on-year increase of 14.56%; Net profit deducted from non parent company was RMB 1.597 billion, with a year-on-year increase of 69.93%. According to the performance express, in 2022q1, the revenue is expected to increase by 29% year-on-year, and the net profit attributable to the parent company is 509 million yuan, a year-on-year increase of 47.5%, and the net profit attributable to the parent company after deduction is 459 million yuan, a year-on-year increase of 58.67%.
The gross profit margin and non net profit margin increased slightly, and the profitability of the company was significantly enhanced: operation control was continuously optimized, balanced production continued to develop in depth. In 2021, the gross profit margin of the company reached 9.76%, with a year-on-year increase of 0.53pct; The company continued to increase R & D investment, with R & D expenses of 660 million yuan, a year-on-year increase of 130.3%. Benefiting from the arrival of large customer prepayments, interest income increased significantly. The financial expenses in 21 years were – 250 million yuan, compared with – 18 million yuan in the same period of last year. The financial rate decreased by 0.6pct, which effectively led to the decrease of the overall expense rate by 0.7pct to 1.8%. Under the comprehensive influence, the company’s net interest rate reached 4.98%, a year-on-year decrease of 0.45pct. However, considering the impact of deducting government subsidies and other income factors, the net interest rate deducted in 2021 reached 4.68%, a year-on-year increase of 1.24pct, and the profitability was significantly improved.
The company actively prepared goods, and the cash flow was in good condition, and the future growth could be expected: at the end of 2021, due to the increase of advance receipts, the company’s contract liabilities reached 36.53 billion, a year-on-year increase of 672.5%. The company’s prepayment was 21.68 billion, a year-on-year increase of 3085% over the beginning of the year. The substantial increase in prepayment reflects that the company has expanded procurement and actively prepared for production, and its operation is expected to continue to grow in the future. At the end of the reporting period, the company’s monetary capital was 21.62 billion, an increase of 71.16% over the beginning of the period, and the funds for operating activities were sufficient; The net cash flow from operating activities was 10.09 billion yuan, a year-on-year increase of 59%, reflecting the good cash flow of the company. At the end of the 21st year, the company’s accounts receivable was 3.6 billion, a decrease of 26.26% compared with the beginning of the period, reflecting the smooth progress of the company’s accounts receivable liquidation. Considering that the company’s downstream customers are military units, the risk of bad debts is very low, and the company’s future cash flow situation continues to improve.
In 2021, the company made a new leap forward in the “five generation iterative upgrading” and won the first victory at the beginning of the 14th five year plan: in 2021, the company focused on the “three four five year plan” development goal, “three Shenfei” construction coordinated promotion, “four significant improvements” achieved the expected annual growth goal, “five generation iterative upgrading” achieved a new leap forward and won the first victory at the beginning of the 14th five year plan. 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 development of the construction system of “Shenfei under the rule of law”, the multi domain breakthrough in the construction of “digital Shenfei”, the solid progress in the construction of “lean Shenfei”, and the new energy of operation management.
Investment suggestion: our company predicts that the earnings per share from 2022 to 2024 will be 1.1, 1.47 and 1.89 yuan respectively. The corresponding PE is 53.5, 40.1 and 31.1 times, maintaining the “Buy-A” recommendation.
Risk warning: the recognized revenue of military products is less than expected, and the research and development of new products is less than expected
