\u3000\u3 Shengda Resources Co.Ltd(000603) 659 Shanghai Putailai New Energy Technology Co.Ltd(603659) )
Event: Shanghai Putailai New Energy Technology Co.Ltd(603659) released the first quarterly report of 2022.
The first quarter performance exceeded expectations and profitability continued to rise. In the first quarter of 2022, the company achieved an operating revenue of 3.131 billion yuan, an increase of 80% year-on-year; The net profit attributable to the parent company was 637 million yuan, an increase of 90% year-on-year; The net profit deducted from non parent company was 613 million yuan, with a year-on-year increase of 96%.
In terms of profitability, the comprehensive gross profit margin of 22q1 company was 38.73%, up 0.96pcts year-on-year and 3.71pcts month on month; The comprehensive net interest rate was 21.98%, up 2.71 PCTs year-on-year and 1.95 PCTs month on month.
The integration of negative electrode materials contributed to the steady growth of net profit per ton. We expect the company’s Q1 negative electrode shipment to be the same as that of 21q4, with a slight increase in profitability, benefiting from the release of the company’s graphitization capacity and the improvement of the integrated self supply rate. From the balance sheet, the company’s inventory at the end of 21 was 4.964 billion yuan and 22q1 inventory was 6.130 billion yuan. We judge that the company’s raw material inventory is relatively abundant. Under the upward price of coke materials, the cost advantage is obvious. With the construction of the first phase of Sichuan integration with a capacity of 100000 tons, we expect the negative electrode capacity of the company to reach 250000 tons by the end of 22. The production capacity is expected to reach 400000 tons by 24 years.
The release of base film and coating business is accelerated, and the synergy of raw materials such as PVDF is obvious. We expect the company’s Q1 base film shipment to be flat and slightly increased compared with 21q4. By the end of the 21st century, the company had a base film production capacity of 100 million square meters, a coating processing capacity of 4 billion square meters, and a production capacity of 8000 tons of nano alumina and boehmite and 5000 tons of PVDF. In 2024, it is expected to reach 1.3 billion flat base film, 10 billion flat coating processing and 25000 tons of PVDF production capacity.
Profit forecast and Valuation: the two main businesses of negative electrode and diaphragm of the company continue to develop at a high speed. Under the trend of localization and substitution of aluminum-plastic film, the first mover advantage is obvious. The logic of the company is smooth and the company continues to be optimistic. We expect the company to realize a net profit attributable to the parent company of RMB 2.856/4.235/5.379 billion from 2022 to 2024, with a year-on-year increase of 63.3% / 48.3% / 27.0% respectively, and the corresponding PE is 33.0/22.2/17.5 times respectively, maintaining the “overweight” rating.
Risk warning: downstream demand is less than expected; The company’s capacity construction is less than expected; New product development is not as expected; Policy change risk
