\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 801 Huaxin Cement Co.Ltd(600801) )
Core view
The scale of revenue increased steadily and the performance was under slight pressure. The annual revenue of the company was 32.464 billion yuan, a year-on-year increase of 10.59%, and the net profit attributable to the parent company was 5.364 billion yuan, a year-on-year decrease of 4.74%. The EPS was 2.58 yuan / share, and the company planned to allocate 1.00 yuan / share (including tax), which was basically in line with the expectation. The company’s 21q4 single quarter revenue was 10.01 billion yuan, a year-on-year increase of 11.9%, and the net profit attributable to the parent company was 1.8 billion yuan, a year-on-year increase of 12.1%.
The non cement business grew rapidly, and the release of production capacity promoted the growth of scale. The total sales volume of cement clinker of the company in the whole year was 75.27 million tons, a year-on-year decrease of 1%. The total revenue reached 25.674 billion yuan, a year-on-year increase of + 2.92%, and the proportion in the company’s revenue decreased by 5.89 PCT to 79% year-on-year. We calculated that the revenue / cost / gross profit per ton of cement clinker of the company were 341 / 229 / 112 yuan / ton respectively, a year-on-year increase of + 12.9 / + 32.8 / – 19.9 yuan / ton respectively, of which the increase in cost was mainly due to the sharp rise in the price of raw coal fuel. In the non cement business, the revenue of commercial concrete was 3.16 billion yuan, a year-on-year increase of + 68.9%, the proportion of revenue increased by 3.4pct to 9.8%, the sales volume was 9.05 million m3, a year-on-year increase of + 96.49%, the production capacity increased by 62% to 43.8 million m3 / year, and the gross profit margin was 18.8%, a year-on-year increase of -0.7pct; Aggregate revenue was 2.05 billion yuan, a year-on-year increase of + 73.6%, the proportion of revenue increased by 2.3pct to 6.3%, the sales volume was 34.97 million tons, a year-on-year increase of + 51.7%, and the production capacity expanded by 180% to 154 million tons / year. At present, there are still 10 projects under construction, with a gross profit margin of 65.6%, a year-on-year increase of + 3.0pct.
Steady expansion of overseas business, leading the industry in environmental protection transformation. The company actively arranged the overseas cement market and completed the asset delivery of cement M & A in Zambia and Malawi during the year. The overseas cement production capacity increased by 18.1% year-on-year to 10.83 million tons / year. The overseas clinker production capacity ranked second in China, and the annual overseas revenue reached 2.583 billion yuan, up + 36.67% year-on-year. In terms of environmental protection and green transformation, the company’s domestic waste, hazardous waste and other projects were promoted smoothly. The total disposal of environmental protection business in the whole year was 3.28 million tons, a year-on-year increase of + 11.56%. During the reporting period, the company issued the industry’s first white paper on low carbon development to show its determination in the field of “carbon neutralization” in the future. At present, the environmental protection business coverage of cement kiln has reached 50%, and the company is leading the industry in terms of technological innovation and industrial transformation capacity. Risk warning: regional supply deteriorates; The cost increase is higher than expected; Overseas projects are not advancing as expected.
Investment suggestion: vigorously promote the integrated development and maintain the “buy” rating
Under the guidance of the “doubling plan”, the company plans to invest 12.2 billion yuan in 2022, a year-on-year increase of + 70% over last year. It will continue to strengthen the development of aggregate, overseas cement and integrated business, and promote the business expansion of high-tech building materials and the transformation of traditional industry + digitization. Recently, the transfer of B to h of the company has been completed, which will help further promote the process of international development in the future. We believe that under the background of steady growth, the company’s main cement business is expected to maintain stable development, and the non cement business will provide a certain flexibility for the company’s performance under the rapid release of production capacity. It is expected that the EPS in 22-24 years will be 2.97/3.33/3.70 yuan / share, and the corresponding PE will be 6.0/5.4/4.8x, maintaining the “buy” rating.
