\u3000\u3 Shengda Resources Co.Ltd(000603) 786 Keboda Technology Co.Ltd(603786) )
Event: on April 12, 2022, the company issued the 2022 restricted stock incentive plan (Draft), which plans to grant 4 million shares of restricted stock to 463 incentive objects at one time, accounting for about 1.00% of the company’s total share capital of 400.1 million shares at the time of announcement of the draft incentive plan, and the grant price is 24.60 yuan / share.
Comments:
Equity incentives bind core talents and consolidate the company’s long-term development foundation
In terms of incentive objects, the total number of incentive personnel in this incentive plan is 463, including 2 senior managers, 461 middle managers, technical backbone personnel and business backbone personnel. The incentive plan covers a wide range and the incentive of core personnel is in place. In terms of performance objectives, the assessment indicators at the company level include revenue growth rate and net profit growth rate. The growth rate of operating revenue in 22 / 23 / 24 years shall not be less than 15% / 32% / 52% respectively, and the growth rate of net profit shall not be less than 10% / 21% / 33% respectively; At the individual level, according to the current assessment system of the company, the proportion of lifting the sales restriction is divided into five grades, which are 100% / 100% / 100% / 60% / 0% respectively. The growth of performance assessment objectives is steady, highlighting the company’s confidence in future development.
In terms of amortization expenses, the total expenses to be amortized for the restricted shares granted by the incentive plan are expected to be 70.8 million yuan, of which 275333 million yuan / 27.14 million yuan / 12.98 million yuan / 3.467 million yuan will be amortized from 2022 to 2025 respectively.
Improve the company’s incentive mechanism, further improve the company’s core competitiveness, and further enhance the company’s incentive and restraint mechanism.
Set up a British subsidiary to help the company expand its business
On April 11, 2022, the company deliberated and passed the proposal on foreign investment and establishment of overseas subsidiaries. The wholly-owned subsidiary of the company Keboda Technology Co.Ltd(603786) German management plans to use its own capital of £ 5000 to establish a wholly-owned subsidiary Keboda Technology Co.Ltd(603786) UK Limited (kebodaukltd) in the UK Keboda Technology Co.Ltd(603786) after the establishment of the UK company, the company will rely on the company to promote the smooth development of Jaguar Land Rover global platform USB and other subsequent projects. While actively carrying out sales supporting services, the company will strive for new projects of Jaguar Land Rover, Bentley, Rolls Royce and other customer platforms, so as to ensure the long-term development of the company’s automotive electronics business. The establishment of this subsidiary will help the company better provide services to overseas customers, improve the company’s international competitiveness and service capacity, and improve the company’s business layout and medium and long-term strategic development plan.
Automotive lighting controller leader, diversified in-depth layout of vehicle products, and actively create vehicle controller leader
Focusing on the field of automotive intelligent and energy-saving products, the company is a high-tech enterprise of automotive electronics supported by the state. Its main business covers automotive lighting control system, motor control system, energy management system, on-board electrical appliances and electronics and other automotive electronic products. The company has customer channels of dozens of mainstream automobile brands around the world, and its products enter the global supporting system of European and American high-end customers such as Volkswagen, Audi, Porsche, GM, Daimler and Peugeot Citroen. At the same time, the company also has the world’s leading supply chain resources and has established strategic cooperation relations with dozens of well-known semiconductor suppliers around the world.
Extending from light control to motor control, chassis domain controller, etc., automotive electronics blossom at multiple points and the growth curve is clear
As the leader of the lamp lighting control system, the company has completed the full product type coverage of the lamp control system, including the main light source controller, auxiliary light source controller, atmosphere lamp controller and tail lamp controller. Under the development background of domain controller, the lamp controller will continue to grow. At the same time, with the development of intelligent cockpit and the personalized needs of customers, the atmosphere lamp is gradually popularized to medium and low-end models and new energy models, The atmosphere lamp controller is expected to open a new space; Many products in the motor control system benefited from the national six-year policy, and the AGS project achieved significant growth in the first three quarters of 2021; In terms of chassis domain controller, it has been designated by Byd Company Limited(002594) several vehicle chassis domain controller projects; USB and other automotive electronic businesses also show a good momentum of development.
New customers, new businesses, new technologies and new energy jointly build a new growth curve of the company.
Since the cooperation with SAIC Volkswagen in 2003, the company has successfully integrated into the global supporting system of Volkswagen Group, and its products involve the main sales models of Volkswagen, Audi, Porsche, Bentley, Skoda and other brands; At the same time, the company continues to actively expand new customers, such as BMW, ideal, Renault, Ford, Dongfeng Nissan, Infiniti, Hongqi, FAW, Byd Company Limited(002594) etc. in 2021, the company successfully passed the review of Toyota’s potential supplier system, laying a foundation for entering Toyota’s global supplier system in the future. The company continued to increase investment in research and development of new products and technologies. Some important new businesses such as national VI emission and USB showed a good development momentum, and actively expanded to chassis control system, thermal management system and other related new product fields, laying a solid foundation for long-term growth.
Profit forecast and investment rating
As the leader of vehicle controller, while steadily developing its existing business, the company will accelerate the layout of new business and the expansion of new customers. Among them, the atmosphere lamp business, national six emission, AGS, USB and other businesses have a good development momentum and are expected to become a new growth curve of the company. It is estimated that the net profit attributable to the parent company from 2021 to 2023 will be 409 million yuan, 716 million yuan and 951 million yuan respectively. The current closing price corresponding to PE is 42.75 times, 24.40 times and 18.36 times respectively, maintaining the “overweight” rating.
Risk factors
New customers and new business development are less than expected risks; Price fluctuation risk of raw materials; Covid-19 epidemic risk of repeated spread.
