\u3000\u3 China Vanke Co.Ltd(000002) 988 Guangdong Haomei New Materials Co.Ltd(002988) )
Event: the company released its annual report for 2021, and achieved an operating revenue of 5.6 billion yuan, a year-on-year increase of 62.91%; The net profit attributable to the parent company was 139 million yuan, a year-on-year increase of 20.03%, deducting 128 million yuan of net profit not attributable to the parent company, a year-on-year increase of 58.86%; EPS is 0.6 yuan / share.
Comments:
In 2021, the company’s performance achieved stable growth under multiple pressures. The main reasons for the growth of the company’s sales revenue and net profit in 2021 are as follows: (1) with the commissioning of IPO raised investment projects and the expansion of the company’s business scale, the production and sales volume of major products, including automobile lightweight materials and components, increased accordingly, driving the growth of the company’s revenue and profit; (2) The aluminum profile products sold by the company are priced according to the method of “aluminum ingot price + processing fee”. Under the background of large increase in aluminum ingot price, the product sales price rises accordingly. The gross profit margin and net profit margin of the company declined in 2021, mainly due to the increase in the cost amortization caused by the rise in the price of aluminum ingots and the completion and operation of the subsidiary’s exquisite special material “new aluminum alloy material construction project”, which is expected to recover gradually from 2022. In addition, in 2021, the company accrued 41.83 million yuan of impairment reserves for accounts receivable and notes receivable, which dragged down the performance. In 2022, with the recovery of the real estate industry, the impairment risk will decrease. In the future, the company will continue to carry out industrial upgrading around “low-carbon energy conservation” and promote the development of energy-saving system doors and windows business and automobile lightweight business.
The company’s profit contribution of automotive lightweight materials increased rapidly. In 2021, the sales revenue of the company’s automobile lightweight business was about 445 million yuan, with a year-on-year increase of 164%. By the end of 2021, the company has achieved more than 170 fixed-point projects in the field of automobile lightweight, including more than 70 mass production projects, covering models including Mercedes Benz, BMW, Honda, Toyota, Byd Company Limited(002594) , great wall, Geely, GAC new energy, Xiaopeng and Weilai, and providing aluminum alloy materials and parts to about 30 primary suppliers of auto parts. The company’s battery tray and other materials are applied in many new energy vehicles through Ling Yun Industrial Corporation Limited(600480) , Ningbo Tuopu Group Co.Ltd(601689) , Guangdong Hoshion Aluminium Co.Ltd(002824) , Lucky Harvest Co.Ltd(002965) , kasma and other auto parts enterprises.
The company’s system door and window business is about to enter a performance explosion period. In 2021, the company’s system door and window business realized a sales revenue of 300 million yuan, a year-on-year increase of 17%, and the gross profit margin fell to 31.4% due to the rise in the price of raw materials. Becklow, the subsidiary of the company responsible for the door and window business of the system, realized a net profit of 5.8 million yuan in 2021, a year-on-year decrease of 46.86%, mainly due to the increase of publicity expenses. In order to improve brand awareness, the company increased the investment of personnel and promotion expenses. In 2021, the company comprehensively combed and planned the brand and market positioning of “becolo”, and strengthened brand promotion. In the field of engineering business, the company strengthened the development of key real estate customers and entered the list of centralized purchase of real estate enterprises such as poly, Zhonghai and Greenland. At the same time, the company strengthened its cooperation with the head real estate enterprises and customized the development system doors and windows for them; In the field of retail, we will focus on strengthening the expansion of sales channels and the layout of offline outlets, and cooperate with property management companies to set up sales service points around the community to carry out systematic door and window sales and services.
Profit forecast and investment rating: combined with the company’s main business development plan and industry demand growth, we expect the company’s net profit attributable to the parent company from 2022 to 2024 to be 251, 417 and 635 million yuan respectively, EPS to be 108, 1.79 and 2.73 yuan / share respectively, and the PE corresponding to the current stock price to be 14x, 9x and 6x respectively. Considering that the company’s automotive lightweight aluminum and system door and window business has entered a stage of rapid growth, the company maintains the “buy” rating.
Risk factors: the production and sales volume of the company’s automobile lightweight aluminum profile products is lower than expected; The sales growth of the company’s system doors and windows was lower than expected; The sharp rise in aluminum prices led to a decline in the gross profit margin of the company’s products.
