\u3000\u3 China Vanke Co.Ltd(000002) 531 Titan Wind Energy (Suzhou) Co.Ltd(002531) )
Key financial points: the company disclosed the annual report of 2021, realizing a revenue of 8.172 billion yuan, a year-on-year increase of 1.42%; The net profit attributable to shareholders of listed companies was 1.310 billion yuan, a year-on-year increase of 24.76%.
The wind power equipment business declined slightly, and the overall performance was in line with expectations. The new installed capacity of wind power in China in 2021 was 47.6gw, down 33.6% from 71.7gw in 2020. The end of onshore wind power rush installation led to a short decline in the new installed capacity of the industry. Affected by this, the company’s wind power equipment business (tower + blade) achieved a revenue of 6.959 billion yuan in 21 years, down 3.54% year-on-year; The company completed the first decentralized wind power project and realized full capacity grid connection in Hanchuan, Hubei Province. With the increase of grid connection capacity, the company’s power generation business realized a revenue of 1.051 billion yuan, a year-on-year increase of 47.94%. By the end of 2021, the company had a cumulative scale of 884mw grid connected wind farms. We believe that under the background of the general rise in the price of bulk raw materials and the decline in the installed capacity of the industry last year, the company still maintained the stability of income and profitability, reflecting the company’s steady operation and increasingly sophisticated management. The company’s “equipment + zero carbon” two wheel drive strategy has begun to show results.
The “sea breeze + sea going” market was launched, and the capacity layout of the two seas was at the right time. By the end of 2021, the total tower capacity of the company is about 900000 tons / year. The currently planned Shanghai Pudong Development Bank Co.Ltd(600000) ton capacity in Germany and Sheyang is expected to be put into operation by the end of 2022. The company is optimistic about overseas export and the development of offshore wind power. In addition to the planned capacity, the company plans to carry out a new round of “two seas” layout in 2022, focusing on Jiangsu, Guangdong / Guangxi and Fujian, so as to ensure the company’s leading position in overseas export and offshore wind power.
Equipment + zero carbon business two wheel drive. Since its establishment in 2005, the company has been deeply engaged in the tower industry for more than 20 years. At present, it is the enterprise with the first share in China’s Tower Market and has occupied a leading position in the field of land wind tower. With the continuous launch of the company’s sea breeze production capacity, the company’s years of technology and channel accumulation in the land breeze field is expected to migrate to its sea breeze products and enjoy the high prosperity of the sea breeze industry. At the same time, it has got rid of the positioning of a single product provider. In addition to the tower, the company’s blade and power station business are also developing well. In the future, the company will continue to firmly promote the zero carbon + manufacturing two wheel drive strategy. We are optimistic about the company’s expansion potential in the global offshore wind power market
Profit forecast: it is estimated that the net profit attributable to the parent company from 2022 to 2024 will be RMB 1.515/2.057/2.533 billion respectively, EPS will be RMB 0.84/1.14/1.41 respectively, corresponding to the closing price of RMB 11.83 on April 13, 2022, and PE will be 14 / 10 / 8 respectively. Maintain the company’s “strongly recommended” rating.
Risk warning: the development of wind power industry may not be as expected; The company’s business development and cost control may be lower than expected.
