\u3000\u3 Shengda Resources Co.Ltd(000603) 659 Shanghai Putailai New Energy Technology Co.Ltd(603659) )
The company issued the annual report of 2021, and the performance was in line with expectations; The company comprehensively accelerated the integrated production capacity layout of negative electrode materials and coating diaphragms, and made concerted efforts in a number of businesses; Maintain the overweight rating.
Key points supporting rating
The annual report of the company was released, with a year-on-year increase of RMB 161.93 billion and a significant year-on-year increase of revenue of RMB 16.61 billion in 2021; The company achieved a profit of 1.749 billion yuan, a year-on-year increase of 161.93%; Deduct non net profit of RMB 1.66 billion, with a year-on-year increase of 166.16%; The company's performance is in line with expectations. The company also announced that it plans to distribute a cash dividend of 5.04 yuan (including tax) to all shareholders for every 10 shares, and increase 10 shares for every 10 shares with the capital reserve.
The negative electrode business volume increased rapidly, with obvious advantages in integrated layout: in 2021, the company's annual sales volume of negative electrode materials was 97200 tons, with a year-on-year increase of 54.48%. The company responded to the pressure of rising costs through early integrated layout, introduction of new processes and other measures, maintained good profitability, and the sales gross profit margin increased by 4.18 percentage points to 29.49% year-on-year. By the end of 2021, the effective capacity of the company's negative electrode materials has reached more than 150000 tons. With the gradual release of 60000 tons of pre process capacity in Jiangxi, 50000 tons of graphitization in Inner Mongolia and 200000 tons of integrated capacity in Sichuan, the integrated layout of the company's negative electrode materials will be further improved. The profitability is expected to be further improved in 2022, showing a pattern of booming production and marketing. In 2021, the company's net operating cash flow inflow was 1.725 billion yuan, a year-on-year increase of 148.73%, reflecting excellent profit quality.
Diaphragm business grew rapidly, and lithium battery equipment business welcomed historical opportunities: in 2021, the company's diaphragm and coating processing revenue reached 2.195 billion yuan, a year-on-year increase of 171.07%; The sales volume reached 2.171 billion square meters, and the market share of wet diaphragm in China increased significantly year-on-year by 8.51 percentage points to 35.19%; In the future, the company will increase R & D investment, actively expand production capacity and form a continuous leading advantage. The downstream battery factory accelerated the capacity expansion. In 2021, the company's coater (excluding internal orders) and automation equipment business had a total of more than 5.1 billion yuan of orders on hand (including tax), laying a solid foundation for future performance growth.
Valuation
Under the current share capital, combined with the company's 2021 annual report and industry changes, we adjusted the company's predicted earnings per share from 2022 to 2024 to 4.07/5.87/7.57 yuan (originally predicted to be 2.42/3.65 yuan from 2022 to 2023), corresponding to a P / E ratio of 35.0/24.3/18.8 times; Maintain the overweight rating.
Main risks of rating
Price competition exceeds expectations; The demand for new energy vehicles does not meet expectations; The release of new capacity is not as expected; New product development fails to meet expectations; The impact of covid-19 epidemic exceeded expectations.
