\u3000\u30003 An Hui Wenergy Company Limited(000543) 00054)
Event: (1) Hubei Dinglong Co.Ltd(300054) released the annual report for 2021: the company achieved a revenue of 2.356 billion yuan in 2021, yoy + 29.67%; The net profit attributable to the parent company was 214 million yuan, yoy + 233.60%. (2) The company released the performance forecast of Q1 in 2022: 22q1 company is expected to achieve a revenue of 560580 million yuan, yoy + 7.70% – 11.55%; The net profit attributable to the parent company is 65-75 million yuan, yoy + 73.16% – 99.80%.
Comments: in 2021, driven by printing consumables + photoelectric semiconductor materials, the company’s performance continued to grow and successfully turned losses into profits. As the only domestic supplier of CMP polishing pad, the company has established its dominant position in the Chinese market. The research and development of new products has further enriched the company’s semiconductor material product line and expanded the company’s advantages in the localization route of high-end semiconductor materials. We are optimistic that optoelectronic semiconductor materials will become the main growth of the company in the future Beijing Dynamic Power Co.Ltd(600405) , driving the company to grow into a platform enterprise of high-end materials.
\u3000\u30001. In 2021, the revenue continued to grow and successfully turned losses into profits; 22q1 profits increased sharply and entered the growth and harvest period.
(1) in 2021, the company realized an operating revenue of 2.356 billion yuan, yoy + 29.67%; The net profit attributable to the parent company is 214 million yuan, yoy + 233.60%; Deduct 206 million yuan of non parent net profit, yoy + 175.62%, and successfully turn losses into profits. (2) In 2021, the company invested 284 million yuan in R & D, with a year-on-year increase of 52.33%. The company has increased R & D efforts and rapidly promoted the development progress of various product lines of Pan semiconductor materials. (3) 22q1 company is expected to achieve a revenue of 560580 million yuan, yoy + 7.70% – 11.55%; The net profit attributable to the parent company was 65-75 million yuan, yoy + 73.16% – 99.80%. The profit increased significantly year-on-year and entered the growth harvest period.
\u3000\u30002. CMP polishing pad: the dominant position in the Chinese market is significant, and the performance continues to grow at a high speed.
The company is the only CMP polishing pad supplier in China who has fully mastered the core R & D and manufacturing technology of the whole process. (1) In 2021, the company’s polishing pad business revenue was 302 million yuan, a year-on-year increase of 284%; The gross profit margin was 63.29%, with a year-on-year increase of 38.74pct. The company benefited from the autonomy of key raw materials, its profitability was less affected by the price rise of raw materials, and the gross profit level was significantly improved. (2) The CMP polishing pad products of the company achieved scale profit for the first time, and the sales volume exceeded 10000 pieces for the first time in a single month in July. The related products have been steadily sold in large quantities in multiple clients, and the company has become the first supplier for some customers.
\u3000\u30003. CMP polishing solution, cleaning solution and PI slurry are well fed back by the client, and will be measured in an orderly manner.
(1) the multi line product of CMP polishing liquid has been verified at the client and the feedback is good. The company has successfully realized the independent preparation of grinding particles of core raw materials, broke the foreign monopoly and ensured the safety and stability of the supply chain; The construction of phase I polishing liquid production line with an annual capacity of 5000 tons has been completed and is waiting for large-scale production. (2) CMP cleaning solution for copper manufacturing process has entered the stage of large-scale test and has been verified by three mainstream customers in China; The phase I production line of cleaning fluid with an annual capacity of 2000 tons has reached the capacity of stable supply. (3) In 2021, due to the fluctuation of downstream industries, the demand of flexible display sector was not fully released, but benefited from the early layout of the company, the share of flexible display YPI products continued to increase, and the feedback of new products PSPI and ink client pilot test was good.
\u3000\u30004. The revenue of printing and copying consumables increased year-on-year, and new growth points of various products are expected.
(1) the company’s printing and copying general consumables sector achieved a revenue of 2.012 billion yuan in 2021, with a year-on-year increase of 17.79%. The upstream chip business has increased significantly, the advantages of color toner and recycled ink cartridge business are stable, and the market competition of toner cartridge is still fierce, but the toner cartridge business of Chaojun technology has started to make an overall profit in 21q4.
(2) in terms of toner cartridge products, it is expected that the cost advantage of the company’s toner cartridge products will be fully reflected after the competition in the consumables industry has eased, the balance between supply and demand has been restored, and the price has been adjusted back to a reasonable range; In terms of ink cartridge products, under the background of vigorously developing the remanufacturing industry, strengthening the recycling of renewable resources and promoting the comprehensive green transformation of economic and social development, recycled ink cartridge products will usher in sustainable market development opportunities.
\u3000\u30005. Investment suggestion: we are optimistic that optoelectronic semiconductor materials will become the company’s main growth Beijing Dynamic Power Co.Ltd(600405) , driving the company to grow into a platform enterprise of high-end materials. Considering the impact of industry fluctuations, we adjusted the profit forecast for Hubei Dinglong Co.Ltd(300054) of : the revenue in 20222023 was 3.091/3.896 billion yuan (original value 3.30/4.25 billion yuan), and the net profit in 22-23 years was 374569 million yuan (original value 4.5/640 million yuan), maintaining the “buy” rating.
Risk warning: the forecast of Q1 performance in 22 years is the preliminary calculation result, and the specific financial data shall be subject to the company’s disclosure announcement; Intensified competition in the industry; The progress of the project is less than expected; The development of new business is not as expected.
