\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 817 Yutong Heavy Industries Co.Ltd(600817) )
Key investment points
Event: in 2021, the company achieved a revenue of 3.757 billion yuan, an increase of 7.82% at the same time; The net profit attributable to the parent company was 393 million yuan, an increase of 33.55%, higher than our expectation. The company plans to distribute a cash dividend of 3.5 yuan (including tax) to all shareholders for every 10 shares, with a dividend rate of 3.28% (calculated on the day before the disclosure of the annual report).
Sanitation equipment performed brilliantly, and construction machinery fell under pressure. 1) Sanitation equipment increased by 33.17% at the same time, contributing to the main growth. Increased costs & increased competition affected the gross profit margin: the revenue of sanitation equipment was 1.599 billion yuan, an increase of 33.17% at the same time, of which the revenue of new energy sanitation equipment was 738 million yuan, an increase of 18.5% at the same time, and the gross profit margin of sanitation equipment decreased by 3.43pct to 28.48% at the same time. 2) The gross profit rate of sanitation services increased to 716.05 billion PCT, the same as that of sanitation services, and the gross profit rate increased to 2.405 billion PCT, the same as that of sanitation services. 3) Due to the downward fluctuation of the real estate industry, the construction machinery revenue decreased by 7.88% compared with Datong: the construction machinery revenue was 1.349 billion yuan, with a decrease of 7.88%, and the gross profit margin decreased by 1.55 PCT to 29.81%. The construction machinery revenue and profit fluctuation were mainly affected by the downward trend of China’s real estate industry, the slowdown of fixed asset investment, the rise in the price of bulk raw materials and other factors. It is expected that the construction machinery business will still be under pressure in the downward cycle of the industry, and the company will actively layout new product R & D Promote the new energy of products to deal with the impact of the industry.
The electric share is stable, the regional advantages of the first stock are strengthened, and the heavy volume of traditional equipment enhances the upper clothing channel. In 2021, the company sold 4450 sanitation vehicles, an increase of 64.15% at the same time. 1) In 2021, the share of electric equipment will greatly increase to 28.85%, ranking first in the industry, and the regional advantages of stock will be strengthened. According to the statistics of retail data of China automobile data terminal, the number of electric equipment insured by the company in 2021 was 1156, an increase of 46.9% and a market share of 28.5%, ranking first in the industry in the whole year. The company strengthened its regional advantages in stock and strengthened the expansion of new fields to verify the company’s core competitiveness. 2) In 2021, the share of traditional equipment increased by 1.26pct to 2.76%, helping to enhance the loading capacity and expand channels. According to the data of traffic compulsory insurance, in 2021, the company has realized that the market share of insurance volume in 6 provinces and cities exceeded 4%, and the share outside the province has expanded comprehensively. The regions with obvious increase in the market share are Jilin, Liaoning, Anhui, Jiangxi, Chongqing, etc. 6. The company will expand its traditional equipment channels in Inner Mongolia and help the company expand its traditional equipment channels in Inner Mongolia.
Increase of goods preparation & payment of accounts payable, reduction of cash flow and implementation of phase II equity incentive. In 2021, the net cash flow from operating activities of the company was 84 million yuan, a decrease of 81.86%, mainly due to the increase of goods preparation in response to the epidemic and the increase of due payment of accounts payable. The company’s 2022 equity incentive plan plans to grant 8.48 million restricted shares to 80 people, accounting for 1.57% of the total share capital, and the grant price is 5.29 yuan / share.
Sanitation new energy has grown 50 times over the past ten years, and its manufacturing and service advantages have created the sanitation blue ocean. Zhongxin Yutong: relying on the group’s manufacturing capacity & service advantages, the company has outstanding: 1) manufacturing end: chassis integration & centralized battery procurement and cost reduction, customized chassis & product iteration, highlighting its technical strength. 2) Service end: the country’s deep coverage of 1900 + service outlets is several times that of peers. 3) The flexibility of electrification is the largest: the revenue of new energy equipment accounts for nearly half of the equipment, ranking first in the industry, and the performance elasticity is the largest under the trend of electrification.
Profit forecast and investment rating: the company enjoys the long-term dividend of environmental sanitation electrification by virtue of its manufacturing and service advantages. Considering the repeated impact of the epidemic & the slowdown of infrastructure investment, the greater volatility of construction machinery business and the high base brought by non economic factors in 2021, we lowered the company’s net profit attributable to the parent company from 454 / 569 million yuan to 326 / 383 million yuan in 20222023, and expected the net profit attributable to the parent company to be 459 million yuan in 2024, The current market value corresponds to 17 / 14 / 12 times of PE from 2022 to 2024, maintaining the “buy” rating.
Risk tip: the penetration rate of new energy is lower than expected, market competition intensifies, and bulk commodities rise
