\u3000\u3000 Shandong Shida Shenghua Chemical Group Company Limite(603026) (603026)
Events
Shandong Shida Shenghua Chemical Group Company Limite(603026) announcement: it is estimated that the net profit attributable to the parent company will be RMB 1.17-1.25 billion in 2021, with a year-on-year increase of 350% - 381%, deducting the net profit not attributable to the parent company of RMB 1.164-1.244 billion, with a year-on-year increase of 360% - 392%.
Key investment points
Q4 performance exceeded expectations and profitability was comprehensively improved
It is estimated that the net profit attributable to the parent company in Q4 is RMB 430-510 million respectively, with a year-on-year increase of 112% - 152% and a month on month increase of 186% - 239%. The profit in a single quarter hit a record high. The company's performance increased significantly, mainly because the sales volume and revenue of carbonate series products increased significantly compared with the same period last year, and the profitability increased significantly year-on-year. In the first three quarters of 2021, the gross profit margin reached 29.63%, a year-on-year increase of 13.55 percentage points, the net profit margin was 15.94%, a year-on-year increase of 13.82 percentage points, and the company continued to optimize its product structure, At the same time, propylene oxide, the main raw material upstream of carbonate, tends to be in tight balance. Propylene oxide is basically supplied by the company, and the competitive advantage of producing carbonate series products by propylene oxide method is further revealed.
Accelerated capacity expansion and integrated layout of electrolyte and its upstream materials
Solvent: 1) Quanzhou project: the 440000 ton new energy material project invested and constructed by the company has been installed and is ready for trial production; 2) Dongying project: the company plans to invest in the construction of 100000 t / a methyl ethyl carbonate unit project, with an estimated investment of 487 million yuan, which is planned to be put into operation in December 2023; 3) Wuhan project: the wholly-owned subsidiary of the company plans to invest in the construction of 220000 T / a lithium battery material production and R & D integration project. The project is located in Wuhan Chemical Industrial Park, Hubei Province, with a total investment of 1.28 billion yuan.
Electrolyte additive: in the 5000 ton power battery additive project (phase I) of the company, lithium difluorinated oxalate borate, lithium difluorophosphate and lithium tetrafluoroborate have passed the commissioning and are sold normally. Lithium Bisoxalate borate and vinyl sulfate are still under commissioning, and it still takes time for all of them to reach production. The construction of phase II project has been started and preliminary preparations are under way. The company plans to invest in the construction of 11000 T / a additive project with a total investment of 280 million yuan. It is expected to be completed and put into operation in December 2023.
Lithium salt: the company has 2000 tons of lithium hexafluorophosphate solid lithium salt, and 3000 tons of phase II project is under preliminary preparation. Shenghua new energy, which holds 51% of the company's shares, plans to build a 100000 ton liquid lithium salt project, which is expected to be completed and put into operation in February 2023.
Electrolyte: the company plans to invest in a 300000 t / a electrolyte project with an estimated total investment of 1.6 billion yuan. It is expected to be completed and put into operation in February 2023.
Layout silicon carbon negative electrode and wet electronic chemicals to create the second growth curve
The wholly-owned subsidiary of the company plans to invest in the construction of 20000 ton silicon-based negative electrode project, with an estimated investment of 730 million yuan. At present, the 1000 ton / year negative electrode project of the company is in the trial production stage, and it is expected to be completed and put into operation in December 2023. The silicon-based negative electrode project is the business extension of the company in the new energy industry and forms synergy with the company's existing business.
The wholly-owned subsidiary of the company plans to invest in the construction of 50000 T / a wet electronic chemicals project, with an estimated investment of 260 million yuan. The project is implemented in two phases. In the first phase, 5000 t / a high-purity hydrogen peroxide, 5000 t / a high-purity ammonia, 5000 t / a high-purity ammonia fluoride and four 5000 t / a photoresist auxiliary material production lines are planned to be put into operation in December 2022; In the second phase, 5000 t / a high-purity hydrofluoric acid and two 5000 t / a high-purity organic reagent production lines (including 5000 t / a ethanolamine and 5000 t / a diethylene glycol butyl ether) are built. It is planned to be put into operation in August 2024, with a total capacity of 50000 T / A. The wet electronic chemicals project will give full play to the company's technical advantages in the field of high-purity solvents, promote the company's business to extend to the semiconductor field and improve the added value of products.
Profit forecast
It is predicted that the revenue of the company from 2021 to 2023 will be RMB 6.93 billion, RMB 8.52 billion and RMB 10.24 billion respectively, and the EPS will be RMB 593 million, RMB 7.91 billion and RMB 10.48 respectively. The corresponding PE of the current stock price will be 31, 23 and 18 times respectively. It will be covered for the first time and given a "recommended" rating.
Risk tips
The demand for new energy vehicles is less than expected; The production capacity launch progress is less than expected; Risk of large fluctuation of upstream raw material price; Risk of sharp decline in product price; Market systemic risk.
