\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 689 Ningbo Tuopu Group Co.Ltd(601689) )
Event overview: on March 28, 2022, the company issued the announcement of pre increase of performance in the first quarter of 2022. The company expects to achieve an operating revenue of 3.63 billion yuan to 3.73 billion yuan in the first quarter of 2022, with a year-on-year increase of 50% ~ 54%, and the net profit attributable to shareholders of listed companies is 346 million yuan to 386 million yuan, with a year-on-year increase of 41% ~ 57%. After deducting non recurring profits and losses, the company expects the net profit attributable to shareholders of Listed Companies in the first quarter of 2022 to be 340 million yuan ~ 380 million yuan, with a year-on-year increase of 42% ~ 58%.
The high growth of performance shows the leading position, and the platform strategy has achieved initial results
The company expects to achieve an operating revenue of RMB 3.63 billion ~ 3.73 billion in 2022q1, with a year-on-year increase of 50% ~ 54%, of which the revenue in March was RMB 1.1 ~ 1.2 billion, with a year-on-year increase of 30% ~ 42%; The net profit attributable to the shareholders of the listed company was 346 million yuan to 386 million yuan, an increase of 41% ~ 57% over the previous year, of which the net profit attributable to the shareholders of the listed company in March was 96 ~ 136 million yuan, an increase of 3% ~ 45% over the previous year; The net profit deducted from non profits was 340 million yuan to 380 million yuan, an increase of 42% ~ 58% over the previous year. In March, disturbed by multiple factors such as core shortage and overseas situation, the company’s performance still maintained rapid growth. We judge that the main reasons are the company’s product platform strategy and t0 The level 5 marketing strategy has been promoted smoothly, and all businesses have developed rapidly. The business growth of lightweight chassis and thermal management for intelligent electric vehicles is strong, contributing to the high growth of the company’s performance. Steering, braking, air suspension and other businesses related to chassis by wire are advancing in an orderly manner, and it is expected to continue to promote the rapid growth of revenue in the future. Benefiting from the structural adjustment of the company’s products, the proportion of high-end products continued to increase, the capacity utilization rate caused by the superposition of industry recovery continued to repair, the company’s profitability continued to rise, and the net profit attributable to the parent company in 2022q1 maintained a high growth rate year-on-year.
NVH core leading enterprise, “2 + 3” strategy helps the company make a smooth transition to platform
The company is the leader of NVH industry, with high-quality customer resources. Benefiting from the cycle resonance, the performance is expected to maintain steady growth. The company promotes the “2 + 3” platform strategy to escort long-term development. The company has a huge customer base. Based on high-quality customer resources, with the automotive industry entering a stagflation in the second half of the year, the opening of the replenishment cycle will drive the company’s performance to improve and continue to maintain the growth momentum. The company actively promotes the “2 + 3” product layout and forms a leading enterprise of comprehensive auto parts with “shock absorption + sound insulation” as the fist product and forward-looking layout of lightweight chassis + thermal management system + auto electronics. In the field of automotive electronic products, the company continues to introduce intelligent driving system products, including electronic vacuum pump EVP, intelligent braking system IBS, intelligent cockpit and other core automotive electronic products. The company is the first part enterprise in China to successfully mass produce EVP. IBS products have also developed to the fourth generation, which is expected to break the technology monopoly of international giants. The automotive electronics business has strong profitability and high gross profit margin of product revenue. The company’s EVP and IBS projects are expected to reach production in May 2022, which is expected to open up new markets.
Investment suggestion: it is estimated that the company will achieve a revenue of RMB 11.329144.98/18.204 billion and a net profit attributable to the parent company of RMB 1.102/14.63/2.013 billion from 2021 to 2023. The current market value corresponds to 55 / 41 / 30 times of PE from 2021 to 2023. The company has actively laid out its auto electronics business and has now entered the harvest period. As a rare leading company of auto parts platform in China, the company is expected to enjoy a valuation premium and maintain the “recommended” rating.
Risk tips: raw material price fluctuations lead to low expectations of gross profit margin, less than expected expansion of new products, less than expected launch of new production capacity, less than expected orders from key customers, exchange rate risk, etc
