\u3000\u30 Ping An Bank Co.Ltd(000001) 57 Zoomlion Heavy Industry Science And Technology Co.Ltd(000157) )
Net profit declined, but maintained a high dividend ratio and planned to buy back some shares
Zoomlion Heavy Industry Science And Technology Co.Ltd(000157) 2021 achieved an operating revenue of 67.13 billion yuan, a year-on-year increase of 3.1%; The net profit attributable to the parent company was 6.27 billion yuan, a year-on-year decrease of 13.9%. The gross profit margin was 23.6%, a year-on-year decrease of 5.0 percentage points, mainly due to the rise in the price of raw materials and the change of product structure; The net profit margin was 9.5%, down 1.8 percentage points year-on-year. The company plans to pay a dividend of 0.32 yuan per share in the 21st year, with a dividend rate of 43.5%. On March 14, the company announced that it planned to buy back no more than 10% of H shares in order to increase earnings per share, stabilize market expectations and convey the company’s growth confidence.
Construction machinery products maintained a leading position, and the sales of high-tech machinery and agricultural machinery maintained rapid growth
In the construction machinery sector of the company, the revenue of concrete machinery / hoisting machinery / earth moving machinery in 2021 was 36.49/16.38/3.24 billion yuan respectively, with a year-on-year growth rate of + 4.6% / – 13.7% / + 21.5% respectively. Main products maintain a leading position in the market; According to the announcement, the market share of the company’s concrete long boom pump truck, on-board pump and mixing station ranks first in the industry; The sales scale of construction hoisting machinery ranks first in the world; The sales volume of truck cranes of 30 tons and above ranks first in the industry, and the Chinese share of crawler cranes ranks first in the industry.
The sales of high-tech machinery and agricultural machinery maintained rapid growth. In 2021, the company achieved a sales volume of 3.35 billion yuan of high-altitude operation machinery, with a significant year-on-year increase of 310.8%; The products of high-altitude operation have covered 58-68 meters in five continents and overseas countries. In 2021, the company’s agricultural machinery revenue was 2.91 billion yuan, a year-on-year increase of 9.9%; The market share of wheat machine, dryer, rotary cultivator, baler and seedling throwing machine in China remains at the forefront of the industry, and Jiangsu Nonghua Intelligent Agriculture Technology Co.Ltd(000816) realizes commercialization.
The export increased rapidly and the expansion and upgrading of overseas manufacturing bases were accelerated
In 2021, the company’s overseas revenue increased by 51.1% year-on-year. The products of super tonnage crawler cranes were exported to overseas markets in batches. Concrete and lifting equipment participated in the construction of Yawan high-speed railway project; The agent network of aerial work machinery has covered the key markets of five continents in the world. The subsidiary CIFA Italy expanded and upgraded to a comprehensive global company covering concrete, construction and construction products; Integrate the coordination between Rabe, the world’s leading agricultural machinery manufacturer, and the agricultural machinery sector; The Belarus base was fully put into operation, and the construction of the Indian Industrial Park was started; In the future, the overseas market will still be an important source of the company’s performance growth.
Maintain “buy” rating
Based on the changes of industry prosperity and the impact of raw material price fluctuations, we lowered the company’s net profit forecast for 22-23 years by 21.9% / 23.9% to 6.73/7.62 billion yuan, and introduced a 24-year net profit forecast of 8.59 billion yuan, corresponding to EPS of 0.78/0.88/0.99 yuan for 22-24 years. The growth of high machinery, agricultural machinery and overseas business is expected to continue to bring performance increment and maintain the “buy” rating of the company’s A-Shares and H shares.
Risk tips: the risk of intensified industry competition, the risk of downstream prosperity, and the risk of ineffective control of overseas epidemic
