\u3000\u3 Guocheng Mining Co.Ltd(000688) 005 Ningbo Ronbay New Energy Technology Co.Ltd(688005) )
Summary content
Event: the company released the 21st Annual Report, with a revenue of 10.259 billion yuan in the 21st year, a year-on-year increase of + 170.36%; The net profit attributable to the parent company was 911 million yuan, a year-on-year increase of + 327.59%. In a single quarter, the revenue of 21q4 company was 4.008 billion yuan, a year-on-year increase of + 176.62% and a month on month increase of + 50.72%; The net profit attributable to the parent company was 362 million yuan, a year-on-year increase of + 263.81% and a month on month increase of + 59.08%.
The performance increased rapidly, the cost level was further reduced, and the performance was in line with expectations. The global demand for power batteries has increased significantly. The orders of the company’s main products high nickel ternary cathode materials are full, the new production capacity is released, the sales volume has increased significantly, and the company’s profit level has increased significantly.
Ternary has great potential and is the world’s leader Ningbo Ronbay New Energy Technology Co.Ltd(688005) occupies a leading position in the ternary field at home and abroad. The shipment of high nickel ternary cathode materials accounts for 90% of the total shipment, and the market share ranks first in China for many years. The company continues to expand the production capacity of ternary cathode, expanding simultaneously in Ezhou base in Hubei, Zunyi base in Guizhou and South Korea, and plans to build a lithium battery cathode material manufacturing base with an annual output of 400000 tons in Xiantao, Hubei. At the same time, the company actively distributes the field of precursors, extends the industrial chain and raises barriers.
Increase financing to expand production capacity and improve the expansion capacity of the industrial chain Ningbo Ronbay New Energy Technology Co.Ltd(688005) issued a fixed increase plan in March 2022, which plans to raise no more than 6.068 billion yuan for lithium cathode material expansion project, 2025 power lithium battery material comprehensive base (phase I) project, engineering equipment phase I project and supplementary working capital, with the amount of 3.459 billion yuan, 493 million yuan, 266 million yuan and 1.820 billion yuan and 1.820 billion yuan respectively. Investment suggestion: the company is expected to realize a net profit attributable to the parent company of RMB 2.028/30.31/3.965 billion from 2022 to 2024, with a year-on-year increase of + 122.6% / + 49.4% / + 30.8%, corresponding to EPS of RMB 4.53/6.77/8.85 respectively, maintaining the “buy” rating.
Risk tip: the industry competition intensifies, the sales volume of new energy vehicles is lower than expected, and the epidemic situation is repeated.
