\u3000\u300 China High-Speed Railway Technology Co.Ltd(000008) 9 Shenzhen Airport Co.Ltd(000089) )
Event: the company released the annual report of 2021. In 2021, the company achieved an operating revenue of about 3.31 billion yuan, a year-on-year increase of 10.3%; The net loss attributable to the parent company was about 34 million yuan, and the profit (28 million yuan) turned from profit to loss compared with the previous year; After deducting the net loss not attributable to the parent company, about 75 million yuan was deducted, and the profit (11 million yuan) was transferred from profit to loss compared with the previous year; However, the company still plans to pay a cash dividend (before tax) of 0.03 yuan / share, with a total proposed cash dividend (before tax) of about 62 million yuan.
The airport fee reduction policy ended and the revenue of the main aviation industry increased. Due to the multi-point spread of the epidemic in China in 2021, the recovery of aviation demand was restrained. The passenger throughput of the company in 2021 was about 36.36 million (ranking third in China), a decrease of 4.1% compared with the same period in 2020. Compared with the same period in 2019, the passenger throughput of China, international and regional decreased by 2.6%, 85.0% and 100% respectively, equivalent to 77%, 2% and 0% of the level in the same period in 2019 respectively; The company took off and landed about 318000 flights in 2021, a year-on-year decrease of 0.8%. Equivalent to 86% of the level in the same period in 2019. However, considering that some fee reduction policies implemented during the epidemic period will end one after another in 2021, the company’s main aviation industry achieved an operating revenue of about 2.27 billion yuan in 2021, a year-on-year increase of 9.2%. Due to the repeated epidemic in China, the passenger throughput of the company from January to February 2022 decreased by 23.74% year-on-year, and the number of flights took off and landed decreased by 9.81% year-on-year.
Rigid drag on the gross profit margin of the main aviation industry. In 2021, the operating cost of the company’s main aviation industry increased by 10.4% year-on-year. In addition to the rigid overall operating cost of the airport, the reasons for the entry of operating lease into the table and the conversion of satellite hall to fixed assets are also superimposed. The gross profit margin of the company’s main aviation industry in 21 years was – 17.9%, down 1.3pct from 2020.
The commercial rental income of terminal buildings increased year-on-year. In 2021, the company realized the commercial rental income of the terminal building of about 350 million yuan, with a year-on-year increase of 6.8%. The whole aviation value-added service business realized an operating profit of about 210 million yuan in 2021. However, in March 2022, the Shenzhen Municipal People’s government issued the relevant measures of “relief” and the company will reduce the rent of tenants’ houses. It is preliminarily estimated that the operating revenue of the company in 2022 will be reduced by about 100 million yuan.
The entry of operating leases into the table has a negative impact. Although the company’s revenue increased by 10.3% year-on-year in 21 years, the gross profit margin increased by 1.95pct to 8.33% year-on-year, and the overall gross profit of the company increased by 44% to 276 million yuan, the financial expenses of the company in 2021 increased from – 34 million yuan in 2020 to 126 million yuan. Affected by this, the company’s operating profit for 21 years was – 11 million yuan, with a year-on-year profit (59 million yuan) from profit to loss.
Production capacity continues to be put into operation, opening up space for future growth Shenzhen Airport Co.Ltd(000089) satellite hall was officially opened on December 7, 2001, and can meet the support needs of 52 million passengers per year together with T3; In addition, the capacity standard of Shenzhen Airport Co.Ltd(000089) peak hour was raised to 60 sorties in 21 years; In addition, the company continues to promote the planning and Research on the construction of the third runway and the reconstruction of T1 and T2 terminals, Shenzhen Airport Co.Ltd(000089) making steady progress towards the construction goal of “double hubs” for passenger and freight transportation.
Investment suggestion: Although the epidemic situation in China has been repeated, the company’s location advantage and competitive advantage have not changed essentially due to the epidemic situation. With the continuous promotion of covid-19 vaccination / treatment, the recovery of aviation demand and the revaluation of the value of first-line airports are deterministic events. Based on the longer duration of covid-19 epidemic than expected, we lowered the company’s net profit forecast for 22-23 years to – 39 million yuan and + 350 million yuan respectively (originally + 330 million yuan and + 620 million yuan), and increased the net profit forecast for 24 years to 590 million yuan; Based on the gradual improvement of the company’s fundamentals, maintain the company’s “overweight” rating.
Risk warning: the duration of covid-19 epidemic exceeded market expectations; The sharp decline of macro economy leads to the decline of industry demand; Sino US trade frictions continue to ferment, and the RMB exchange rate fluctuates greatly; Crude oil prices rose sharply.
