\u3000\u3 China Vanke Co.Ltd(000002) 643 Valiant Co.Ltd(002643) )
Event: Valiant Co.Ltd(002643) released the annual report of 2021. In 2021, the revenue was 4.36 billion yuan, a year-on-year increase of + 49.4%, the net profit attributable to the parent company was 630 million yuan, a year-on-year increase of + 24.2%, and the non net profit deducted was 590 million yuan, a year-on-year increase of + 22.7%; Among them, Q4 achieved a revenue of 1.13 billion yuan, a year-on-year increase of + 17.0%, a month on month increase of – 19.9%, and a net profit attributable to the parent company of 130 million yuan, a year-on-year increase of – 14.1%, a month on month increase of – 29.9%, deducting a non net profit of 120 million yuan, a year-on-year increase of – 19.3% and a month on month increase of – 33.1%. The annual revenue and profit reached a new high. The company issued the announcement on the advance increase of Q1 net profit in 2022. It is expected to realize the net profit attributable to the parent company of RMB 210250 million, a year-on-year increase of + 59.4% – 89.7%, deducting the non net profit of RMB 205243 million, a year-on-year increase of + 60.1% – 89.7%.
The annual profit reached a new high, the contribution increment of covid-19 kit, incentive expenses and inventory impairment affected Q4
Wanrun’s Q3 revenue and profit growth in 2021 contributed the main increment of the whole year, including the rapid growth of MP covid-19 antigen detection kit products; Q4 of the company declined year-on-year and month on month, mainly due to three reasons: 1. The purchase cycle of MP covid-19 antigen kit orders fluctuated, and it fell month on month in the fourth quarter; 2. Q4 in 2020 is the high point of annual income and profit, with a high base effect; 3. Non operating factors such as equity incentive expenses and inventory impairment have led to more expenses and dragged down the profit items.
In terms of sections, the big health sector benefited from the sales of MP covid-19 antigen kit Q3, with a year-on-year revenue of + 180.83% and a year-on-year revenue of + 51.53% except mp; In the OLED sector, Jiumu chemical achieved a net profit of 127 million yuan, a year-on-year increase of 34.93%, and continued to maintain a high growth state; In March, science and technology realized a revenue of 34.25 million yuan, a year-on-year increase of 95.1%, and the net profit loss decreased.
In addition, the asset impairment loss of RMB 49.145 million and equity incentive expense of RMB 281902 million caused by Q4 have brought non operational negative impact to Q4.
In the first quarter, MP covid-19 business continued to contribute to the increment, and the main business of asset to fixed assets grew well
The company released the performance forecast of Q1 in 2022, and the net profit hit a record high. Considering the increase of equity incentive expenses, the growth rate of the company’s actual operating net profit is higher than the forecast range. There are two main reasons for the high profit increase in Q1: 1. The sales of MP covid-19 antigen detection kit, an overseas subsidiary, increased year-on-year in Q1; 2. The sales of functional materials increased year-on-year in Q1 in 2022, thus realizing the corresponding growth of performance.
The company announced that Penglai base’s 1.8 billion yuan new material construction project has opened its growth
The company also announced the 1.8 billion yuan investment in Penglai new materials phase I project, which is used to expand the production capacity of the company’s electronic information materials, special engineering materials and new energy materials. It is conservatively expected to realize an operating revenue of 1.75 billion yuan and a net profit of about 310 million yuan after being put into operation; In addition, a series of photoresist resin products and a large number of projects under construction have been launched, opening space for the growth of the company in the future.
Profit forecast: because covid-19 test reagent exceeded the expectation, we raised the company’s net profit attributable to parent company from 2022 to 2023 to 790 / 1104 million yuan (original value: 740 / 860 million yuan), predicted that the net profit attributable to parent company in 2024 would be 1.392 billion yuan, raised the target price in 2022 to 25.5 yuan / share (original value: 24.3 yuan / share), and maintained the “buy” rating;
Risk warning: the construction progress of the project is lower than expected; Large fluctuations in exchange rates; The cost of raw materials is rising rapidly; The first quarter performance forecast is the preliminary calculation result, and the specific financial data shall be subject to the first quarter report officially disclosed
