\u3000\u30003 An Hui Wenergy Company Limited(000543) 00054)
Events
On April 14, the company released the annual report of 2021 and the forecast of the first quarterly report of 22 years. The company achieved a revenue of 2.356 billion yuan in 2021, a year-on-year increase of 30%; The net profit attributable to the parent company was 214 million yuan, a year-on-year increase of 234%; Deduct non net profit of 207 million yuan, with a year-on-year increase of 176%, in line with expectations.
1q22 is expected to achieve a revenue of 560580 million yuan, a year-on-year increase of 7.7% – 11.6%; The net profit attributable to the parent company was 65-75 million yuan, with a year-on-year increase of 73% – 100%; Net profit deducted from non parent company was RMB 60-70 million, with a year-on-year increase of 14-34%.
Brief comment
The platform construction of semiconductor materials was promoted, with a revenue of 300million yuan in 21 years, and the gross profit margin rapidly increased to 63.3%
1) CMP polishing pad entered the harvest period and achieved a sales revenue of 300 million yuan, a year-on-year increase of 284%, turning losses into profits for the first time. The company is the only supplier in China who fully mastered the core R & D and manufacturing technology of the whole process of polishing pad, and also obtained the first overseas order last year. In addition, the company realized the autonomy of key raw materials, the profitability of the company was not significantly affected by the rise in the price of raw materials, and the gross profit level continued to improve. The phase II plant has been officially put into operation at the end of 2021, with a total annual capacity of 300000 pieces per year.
2) the development and verification of CMP polishing fluid has been rapidly promoted, the upstream core raw materials are independently controllable, and the construction of phase I Wuhan 5000 ton annual production capacity has been completed. The company has a multi line layout of CMP process polishing fluid products such as oxide, sin, poly, Cu and al. Some products have passed various technical index tests, some have passed verification and have a small number of orders. In addition, the company has realized the independent preparation of grinding particles, broken the foreign monopoly and ensured the safety and stability of the polishing solution product supply chain.
3) flexible display materials: with the gradual increase of YPI products of flexible display panel substrate in downstream panel factories, the company’s YPI products are about to enter a period of rapid growth, and the annual sales revenue of 21 years is close to 10 million yuan. The pilot test of new products PSPI and tfe-ink was completed, and the client verification was in good condition. According to the prediction of cinnorresearch, by 2025, the total size of the global flexible AMOLED substrate PI slurry market will exceed US $400 million, with a CAGR of 31.9% from 2020 to 25, and the market space in China is expected to exceed US $200 million. By 2025, the Chinese market scale of PSPI is expected to reach 3.5 billion yuan, while the Chinese market scale of tfe-ink is close to 1 billion yuan.
In 2021, the company’s printing consumables achieved a revenue of 2 billion yuan, a year-on-year increase of 18% and a gross profit margin of 29.2%, a year-on-year decrease of 4pct. The upstream products of consumables and ink cartridge products maintained stable growth; The competition of terminal toner cartridges remains the same, the market is further concentrated to the head manufacturers, and the overall loss is narrowed year-on-year. The product structure of Qijie technology was optimized, and the revenue increased by 36%.
Profit forecast and investment suggestions
We are optimistic about the growth of new materials such as polishing pad materials and PI slurry, and it is expected to drive the valuation switching of the company from chemical materials to semiconductor materials. It is estimated that the net profit attributable to the parent company will be RMB 390 / 550 / 690 million from 2021 to 2023, with a year-on-year increase of 83% / 41% / 25%, corresponding to PE of 44 / 31 / 25, maintaining the “buy” rating.
Risk tips
The marketization progress of new material business does not meet expectations; Exchange rate fluctuations; The competition in the printing consumables industry has intensified.
