\u3000\u3 Shengda Resources Co.Ltd(000603) 722 Wuxi Acryl Technology Co.Ltd(603722) )
In 2021, the net profit attributable to the parent company increased by 93.97% year-on-year, the industry boom continued, and the “buy” rating was maintained
On March 31, the company released its 2021 annual report. During the reporting period, the company achieved a revenue of 880 million yuan, a year-on-year increase of 63.60%; The net profit attributable to the parent company was 100 million yuan, a year-on-year increase of 93.97%; In 2021q4, the revenue reached 240 million yuan in a single quarter, an increase of 26.01% year-on-year and 7.57% month on month; The net profit attributable to the parent company was 318248 million yuan, a year-on-year increase of 45.67% and a month on month increase of 80.32%. The company’s annual performance exceeded expectations. We maintain the company’s 2022 and 2023 performance forecasts unchanged, and add the 2024 performance forecast. It is estimated that the company’s net profit attributable to the parent company from 2022 to 2024 will be 104, 130 and 321 million yuan, corresponding to EPS of 1.19, 1.47 and 3.65 yuan / share, and the current share price corresponding to PE is 41.0, 33.0 and 13.3 times. We are optimistic that the company, as the leader of polyether amine in China, and the industrialization breakthrough of new material COC / COP are imminent, the prospect is promising, and maintain the “buy” rating.
The demand for polyether amine and optical materials continues to be strong, increasing R & D investment, and long-term growth can be expected
The high growth of the company’s revenue in 2021 is mainly due to the corresponding rise in product prices caused by the rise in the price of raw materials and the increase in export volume. In 2021, the average selling prices (excluding tax) of the company’s main products fatty amine and optical materials were 29400 yuan / ton and 53000 yuan / ton respectively, with a year-on-year increase of 38.51% and 32.84% respectively. Affected by the boom of shale gas and polyether gas, the total operating volume of the company is expected to increase by 19.96% and 19.96% respectively, which will be higher than that of its competitors in 2021. Due to the shortage of crude oil and polyether gas, the total operating volume of the company is expected to increase by 19.05% and 19.66% respectively. During the reporting period, the company’s R & D expenses increased by 64.40% year-on-year. At present, there are 7 projects under research, which have successfully passed the review of Jiangsu specialized special new small giant enterprise in 2021.
The pilot test of optical grade COC / COP is progressing smoothly and preparations for industrialization are started
Based on optical grade cycloolefin monomer products, the company develops optical grade COC / cop with high technical barriers, which can meet the requirements of high-definition lens and pharmaceutical packaging for new materials. At present, the company’s high light transmittance material (cycloolefin polymer COC) is in the pilot research and development stage. It has completed the kiloton production line of cycloolefin polymer raw materials and the laboratory level synthesis and verification of cycloolefin polymers, and all indicators have reached the expectation; The preliminary design of 1000 ton cycloolefin polymer production unit has been completed, and the implementation is progressing as scheduled.
Risk tips: price fluctuation of raw materials, overseas epidemic affecting demand, less than expected development of COC / COP, etc.
