\u3000\u30 Zhongyan Technology Co.Ltd(003001) 96 Jiangsu Changhai Composite Materials Co.Ltd(300196) )
The company released its annual report for 2021 on April 20, with annual revenue of 2.51 billion yuan, an increase of 22.7% at the same time; The net profit attributable to the parent company was 570 million yuan, with an increase of 111.5% and eps1.5% 40 yuan / share.
Key points supporting rating
In 21 years, the glass fiber industry was highly prosperous, and the company’s revenue and profit increased significantly: in 2021, the demand for glass fiber was strong, the industry was prosperous all year round, and the glass fiber price remained high after rising all the way. The company’s annual revenue was 2.51 billion yuan, an increase of 22.7% at the same time; The net profit attributable to the parent company was 570 million yuan, an increase of 111.5% at the same time; The sales volume of glass fiber and products was 204000 tons, with a year-on-year increase of 4.0%. The revenue of 21q4 company was 670 million yuan, with a year-on-year / month on month increase of 19.1% / 2.7%, and the net profit attributable to the parent company was 152 million yuan, with a year-on-year / month on month change of 103.5% / – 5.6%.
The production capacity of glass fiber, felt and resin of the company has increased, and the product structure has been continuously adjusted: in September 21, the company has an annual output of 100000 tons of alkali free roving, 3-wire ignition, and the products are mainly short cut yarn; The announcement plans to upgrade the 30000 ton glass fiber production line to 80000 ton high-end high-performance glass fiber and special fabric production line. In terms of glass fiber products, the company plans to build five new felt lines, and has completed the production of two production lines, further stabilizing the leading position in the subdivided field. In addition, the company’s annual output of 100000 tons of unsaturated polyester resin technical transformation and expansion project has been completed, which can improve the self-sufficiency rate of raw materials of the company’s products after being put into production, and the layout of the company’s “glass fiber yarn glass fiber products resin composite” industrial chain will be further improved.
The demand in various fields of glass fiber downstream continues to boom, but the supply increases more during the year: we expect that the demand side, downstream wind power, new energy vehicles, PCB industry, construction and other market demand will continue to be strong; On the supply side, the capacity of new ignition will reach production capacity in the second half of 21; According to Zhuo Chuang information, it is expected that about 400000 tons of production capacity will be put into operation in the first half of 22 years, and about 800000 tons of production capacity will be stored in the ignition plan in the second half of 22 years. The continuous increase of supply will bring some pressure to the balance of supply and demand.
Valuation
Considering the simultaneous rise of the volume and price of the company’s glass fiber business and the launch of new production capacity, we adjusted the original profit forecast. It is estimated that the company’s revenue from 2022 to 2024 will be RMB 3.22 billion, RMB 4.05 billion and RMB 4.43 billion; The net profit attributable to the parent is 690 million yuan, 810 million yuan and 890 million yuan respectively; EPS is 1.70, 1.99 and 2.19 yuan respectively. Maintain the company’s overweight rating.
Main risks of rating
The demand for glass fiber was lower than expected, and the price of raw materials of chemical products continued to rise.
