\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 660 Fuyao Glass Industry Group Co.Ltd(600660) )
Events
The company released the first quarter report of 2022. In the first quarter, the company’s revenue was 6.55 billion yuan, yoy + 14.8%, and the net profit attributable to the parent was 870 million yuan, yoy + 1.9%.
Key investment points
Revenue highlights: in the first quarter, revenue achieved positive growth month on month for the first time, mainly driven by ASP
22q1’s revenue was 6.55 billion yuan, and yoy / QoQ were 14.8% / 1.6% respectively. In the first quarter, the revenue achieved positive growth month on month for the first time, and the year-on-year growth rate was also significantly better than that of the industry. It is expected that ① the improvement of HUD and ceiling glass penetration will drive the company’s ASP; ② The global market share was further increased.
Profit highlights: the profit returns to a high level, and the total profit after restoration is + 26% year-on-year
Due to the change of accounting standards, we pay attention to the index of [gross profit margin – sales expense rate – management expense rate]. 22q1, the index is 23.63%, with a year-on-year increase of -0.8pct and a month on month increase of + 2.78pct, which is significantly improved. Reducing the impact of exchange, soda ash and sea freight, the total profit of Q1 was + 26% year-on-year, which was about 11 points better than the revenue growth rate: the total profit of 22q1 company was 1.07 billion yuan, which was + 3% year-on-year, which was weaker than 14.8% of the revenue growth rate. However, considering that the RMB appreciation affected the gross profit by 50.35 million yuan year-on-year, the total profit affected by exchange loss decreased by 64.57 million yuan year-on-year, and the rise in soda price reduced the total profit by 70.15 million yuan year-on-year, The increase in sea freight price reduced the total profit by 53.08 million yuan compared with last year, reducing the profit growth rate of the above four companies by + 26% year-on-year, which was significantly better than the revenue growth, mainly due to the obvious improvement in the profits of American factories + the improvement in the utilization rate of Chinese production capacity + the increase in the proportion of high value-added products.
Continue to be optimistic about the improvement of ASP under the acceleration of HUD + sky curtain penetration, and the aluminum trim business is expected to usher in a reversal
The panoramic sky curtain is an electric vehicle logo accessory. ASP is at least twice that of steam glass, and the competition pattern is better than that of traditional steam glass.
The penetration rate of HUD accelerated and doubled the ASP of front windshield. The inflection point of aluminum trim business is about to open a large-scale cycle: Sam OEM orders are about to be put into production, which will turn losses into profits; The production of Fuqing plant in China began to climb gradually, and Changchun plant will also be put into operation in 2022 to contribute to the increment.
Profit forecast and valuation
The company is a global leader in automotive glass. Thanks to the accelerated penetration of HUD + sky curtain, the company’s main business of automotive glass ASP has increased, and there is still some room for improvement in the company’s global market share. At the same time, the aluminum trim business is about to reverse and will contribute to the increment. It is estimated that the company’s revenue in 22-24 years is 28.09/34.19/41.3 billion yuan, yoy is 19% / 22% / 21%, and the net profit attributable to the parent is 42 / 54 / 68 billion yuan, corresponding to 19.8 / 15.4 / 12.2 times of PE, Maintain the “buy” rating.
Risk tips
Repeated outbreaks, chip supply less than expected, car sales less than expected, Sam integration less than expected
