\u3000\u3 Guocheng Mining Co.Ltd(000688) 559 Shenzhen Hymson Laser Intelligent Equipments Co.Ltd(688559) )
Events
On April 15, 2022, the wholly-owned subsidiary Shenzhen Hymson Laser Intelligent Equipments Co.Ltd(688559) laser intelligent equipment (Jiangsu) Co., Ltd. received the letter of acceptance from Jingke Energy Co., Ltd., with a bid winning amount of 1.067 billion yuan.
Investment advice
Won the bid for 1.07 billion TOPCON of Jingke energy, and achieved a major breakthrough in photovoltaic laser equipment
The company won the bidding for TOPCON laser micro loss equipment project of Jingke energy with a bid amount of 1.067 billion yuan (the specific amount is subject to the officially signed equipment procurement contract), which is expected to have a positive impact on the company’s operating performance in 2023. The first large order of photovoltaic laser and automation equipment won by the winning company further reflects the company’s industry position in the field of laser automation equipment. We expect that the value of a single GW of equipment provided by the company is more than 20 million yuan. The capacity involved in this bid is expected to exceed 40gw, and the total amount is expected to cover the estimated capacity of Jingke this year and next. As a leading company in the field of photovoltaic TOPCON, Jingke energy directly signed a large order when cooperating with the company for the first time, which proves that the company has reached a considerable level in the field of photovoltaic laser equipment and achieved a fundamental breakthrough in the research and development of photovoltaic TOPCON laser application. It is expected that the company is expected to continue to extend in other photovoltaic laser applications in the future.
The laser automation platform has significant advantages and is expected to continue to extend to the whole line of lithium batteries, photovoltaic and other application fields
At present, the company’s main products are polar ear cutting machine and middle cell assembly line in the field of lithium battery. Polar ear cutting machine is the core product of the company, with a market share of more than 50%. Downstream customers of the cell assembly line include first-line lithium battery manufacturers such as AVIC lithium battery and Eve Energy Co.Ltd(300014) and are highly competitive in the market. The company is expected to give full play to the advantages of its laser automation platform, in addition to the breakthrough in the field of photovoltaic laser equipment. In the field of lithium battery equipment, continuous breakthroughs have been made in the forward and middle segments. The growth space is further opened by cutting and stacking integrated machine, winding and cutting integrated machine and other equipment. The company has three major production bases in Changzhou, Jiangmen and Shenzhen. It is expected that the annual output value will reach about 10 billion yuan by the end of this year. In 2021, the company achieved an operating revenue of 1.97 billion yuan, with a year-on-year increase of 49%. The net profit attributable to the parent excluding 44 million equity incentive fees was 152 million, with a year-on-year increase of 97% and a net interest rate of 7.7%. In 2021, the number of orders in hand is about 4.8 billion yuan (including tax). It is expected that the number of new orders signed by the company in 2022 will still nearly double on the basis of 2021. We believe that the overall scale effect of the company will be more significant in 2022, driving the further improvement of gross profit margin and net profit margin. The annual net profit margin is expected to reach more than 9%, and the performance is highly uncertain.
Profit forecast and Valuation: net profit cagr110% from 2021 to 2023, maintaining the “buy” rating. It is estimated that the operating revenue of the company from 2021 to 2023 will be RMB 1.97/37.4/6.75 billion, with a year-on-year increase of 49% / 89% / 81%; The net profit attributable to the parent company was RMB 110 / 34 / 720 million, with a year-on-year increase of 39% / 213% / 113%, corresponding to pe117 / 37 / 17 times. The compound growth rate of the company’s performance from 2021 to 2023 was 110%, maintaining the “buy” rating.
Risk tip: competition intensifies, profitability is lower than expected, and the growth rate of new orders in lithium battery equipment industry declines
