Weibo hydraulic (871245)
During the release of the annual report, the company achieved an annual revenue of RMB 1.73 billion, a year-on-year increase of 2.31%; The net profit attributable to the parent company was 42.23 million yuan, a year-on-year increase of 59.11%; The net profit deducted from non parent company was 38.16 million yuan, with a year-on-year increase of 54.23%.
Warehousing and logistics contributed to the company’s performance, and the net profit attributable to the parent company increased by 59% in 2021: the company specializes in the R & D, production and sales of hydraulic power units and core components, and its products are mainly used in warehousing and logistics, aerial work platforms, automobile machinery and other fields. After years of technology accumulation, innovation and practice, the company has developed into a leading provider of hydraulic power unit products in the field of warehousing and logistics in China. Its main customers include Noblelift Intelligent Equipment Co.Ltd(603611) , Hangcha Group Co.Ltd(603298) , Zhejiang Dingli Machinery Co.Ltd(603338) and other well-known companies in the field of warehousing, transportation and aerial work. In 2021, the company achieved revenue of 317 million yuan, with a year-on-year increase of 45.23%, mainly because the sales of power unit products in China’s warehousing and logistics field showed an upward trend; The net profit attributable to the parent company was 42.23 million yuan, a year-on-year increase of 59.11%. In 2021, the gross profit margin of the company was 24.86%, a year-on-year decrease of 0.62pct, and the gross profit margin of each quarter was relatively stable as a whole; The net interest rate was 13.31% in 2021, with a year-on-year increase of 1.14 PCT, mainly due to the company’s control over expenses, of which the management expense rate decreased by 1.04 PCT year-on-year. In addition, the net cash flow from the company’s operating activities was 33.54 million yuan, a year-on-year decrease of 46.04%, mainly due to the increase in cash paid for purchasing goods and receiving labor services, and the balance of accounts receivable of the company increased by 25% year-on-year.
Focus on high-end hydraulic parts, continue to invest, and gradually improve the competitiveness of products: the company has long focused on the independent R & D and innovation of high-end hydraulic components, and has core technologies such as noise control technology, low-pressure casting technology, full-automatic Siasun Robot&Automation Co.Ltd(300024) processing flexible manufacturing technology, surface coating technology, etc. up to the latest, the company has 3 invention patents and 52 national utility model patents, And won the honors and titles of “Jiangsu Engineering Technology Research Center”, “Huai’an small giant enterprise”, “Huai’an specialized special new small and medium-sized enterprise”, “two integration and standard implementation enterprise” and so on. The company’s R & D expenditure in 2021 was 12.5 million yuan, an increase of 26.5% at the same time. In addition, recently Hangcha Group Co.Ltd(603298) awarded the company “excellent supplier of 20192021”, and the market competitiveness and recognition of the company’s main product hydraulic power unit have been gradually improved.
Under the new consumption, the company is expected to benefit from the increased demand for intelligent warehousing and logistics and the trend of forklift Electrification: according to the data of the Ministry of Commerce, to overcome the adverse impact of the epidemic, China’s annual online retail sales in 2021 were 13 trillion yuan, a year-on-year increase of 14.1%, accounting for more than 11% of GDP; Online consumption has led to the continuous growth of express business. According to the statistics of the State Post Office, the postal express industry is expected to complete the annual express business revenue and business volume of 1.04 trillion yuan and 108.5 billion pieces respectively in 2021; Downstream warehousing and logistics welcomed the good. China’s logistics storage cost reached 5.6 trillion yuan in 2021, an increase of 8.8% (data source: logistics times). At present, the new consumption represented by live e-commerce has the characteristics of high repurchase rate, centralized categories (clothing, beauty, mother and baby, food) and high timeliness requirements, which puts forward new requirements for the ability of warehousing and logistics in terms of efficiency, accuracy, liquidity, storage and distribution capacity, and promotes the intelligence, mechanization and automation of warehousing and logistics. As a supplier of hydraulic power units in the field of warehousing and logistics in China, the company is expected to benefit from the trend of forklift electrification.
Investment suggestion: Buy-A investment rating, 6-month target price of 19.62 yuan. We expect that the revenue growth rate of the company from 2022 to 2024 will be 37%, 24% and 20% respectively, and the net profit growth rate will be 29%, 25.4% and 24% respectively, with outstanding growth; The investment rating of Buy-A is given for the first time. The six-month target price is 19.62 yuan, which is equivalent to the dynamic P / E ratio of 18x in 2022.
Risk tip: business competition intensifies and the development of downstream industries is less than expected
