\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 038 Avicopter Plc(600038) )
Event: Avicopter Plc(600038) released the 2021 annual report, realizing an operating revenue of 21.79 billion yuan in 2021, a year-on-year increase of + 10.9%; The net profit attributable to the parent company was 910 million yuan, a year-on-year increase of + 20.5%; The net profit attributable to the parent company and non parent company was RMB 2.2 billion and 0.9% respectively on a year-on-year basis. In the fourth quarter, the revenue was 7.59 billion yuan, a year-on-year increase of + 1.7%.
The delivery volume of aviation products increased year-on-year, and the revenue of the two core divisions exceeded 10 billion: the company’s Harbin and Jingdezhen divisions undertook the main research and production tasks, fully completed the batch production delivery task in 2021, and further improved the production capacity and production efficiency. Harbin and Jingdezhen branch achieved revenue of 10.56 billion yuan and 10.7 billion yuan respectively in 2021, with a year-on-year increase of 11.3% and 8.4% respectively; The gross profit margin was 9.2% and 13.8% respectively, with a year-on-year increase of 0.4 and 1.6 percentage points respectively.
Reduce cost and increase efficiency, and continue to improve profitability: the company’s gross profit margin in 2021 was 12.4%, up 0.9 percentage points year-on-year; The net interest rate was 4.2%, up 0.3 percentage points year-on-year. In 2021, the delivery volume of aviation products increased year-on-year, the revenue increased rapidly, and the cost was reasonably reduced and the profitability was improved through process optimization and batch procurement.
Continue to increase R & D investment and increase the capital of subsidiaries to promote industrial development: the sales and management expense rates of the company in 2021 were 0.7% and 4.3% respectively, basically the same as that in 2020. The financial expense rate was + 0.2% year-on-year, mainly due to the decrease in interest income from bank deposits. The R & D expenditure is 570 million yuan, an increase of 46.51 million yuan over 2020. It mainly promotes model research and continuously improves design and process technology. In 2021, the company increased the capital of Tianjin helicopter company twice, totaling 553 million yuan and Changhe Airlines 540 million yuan, so as to vigorously explore the civil helicopter market and promote the development of civil helicopter industry.
The purchase amount and deposit amount of related party transactions increased significantly: the actual amount of related party procurement of the company in 2021 was 6.48 billion yuan, and the upper limit in 2022 was 12.76 billion yuan, mainly due to the company’s plan to increase inventory reserves in 2022. The deposit ceiling of related party transactions in 2022 is planned to be increased from RMB 6 billion in 2021 to RMB 13 billion, and the advance collection is expected to increase in 2022.
Sufficient orders on hand: at the end of 2021, the revenue corresponding to the performance obligations that the company has signed contracts but has not yet performed or has not yet performed is 4.597 billion yuan, of which 4.261 billion yuan is expected to be recognized by Hafei airlines in 2022. In 2021, the company signed an intention purchase agreement for two ac352 helicopters with Qingdao helicopter Airlines; Signed a purchase agreement with Tibet civil aviation development for three ac311a, four ac312e and one ac313a helicopters; Guided by meeting the needs of emergency rescue, the company accelerated the improvement of aviation emergency equipment localization support and systematic solution capabilities.
Investment suggestion: it is estimated that the net profit attributable to the parent company from 2022 to 2024 will be 11 / 12.8 / 1.52 billion yuan respectively, and the corresponding PE of the current stock price is 27 / 23 / 19 times. The military and civilian helicopter market has great potential. As the main force of China’s helicopter manufacturing industry, the company will continue to benefit and maintain the “overweight” rating.
Risk tip: the risk that the epidemic will affect the macro-economy and the demand outside China is less than expected; Risk of shortage of raw materials and price fluctuation; Risk of structural adjustment of orders and products.
