\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 477 Hangxiao Steel Structure Co.Ltd(600477) )
The revenue increased steadily, and the new business is expected to increase rapidly and maintain the “buy” rating
On the evening of April 19, 22, the company released its 2021 annual report. In 21 years, the company achieved revenue of 9.58 billion yuan, 17.7% year-on-year, q1-4 single quarter revenue of + 108.4% / + 30.8% / + 4.2% / – 6.9% year-on-year, and realized net profit attributable to the parent company of 410 million yuan, 43.1% year-on-year, deducting non net profit of – 41.0% year-on-year. The sharp rise in steel price in 21 years compared with the end of 20 put pressure on the company’s performance. We believe that as a leading enterprise in steel structure, driven by the advantages of technology and brand, Wanjun green construction is expected to turn losses into profits. The BIPV business may achieve rapid volume and maintain the “buy” rating.
The traditional main business of steel structure is advancing steadily, and the service business may enter the harvest period
In terms of business, the company’s four main businesses of multi-storey and high-rise steel structure / light steel structure / building materials products / services achieved revenue of 64.2/19.0/0.9/930 million yuan respectively, with a year-on-year increase of + 32.8% / 37.4% / 26.4% / 60.5%, and the gross profit margin changed by – 0.5 / – 0.2 / + 6.7 / – 11.1pct respectively. In 21 years, the company signed 15.01 billion yuan of new orders (1.6 times of revenue), a year-on-year increase of + 16.7%. In terms of breakdown, the company’s steel structure business newly signed 10.71 billion yuan (1.3 times of revenue) in 21 years, a year-on-year increase of + 6.7%. In 21 years, the company’s steel structure production capacity was 1 million tons, which is expected to increase by 3 Shenzhen Guohua Network Security Technology Co.Ltd(000004) 00000 tons in 22 years. Its own production capacity expanded steadily, reducing outsourcing and thickening profits; Wanjun green construction newly signed 4.15 billion yuan, a year-on-year increase of + 68.3%. We believe that after a three-year cultivation period, it may turn losses into profits in 22 years.
The expense rate decreased, and the cash flow needs to be improved
In the 21st year, the gross profit margin of the company was 13.9%, with a year-on-year rate of – 3.9 PCT, and the sales / management / R & D / financial expense rates were 1.6% / 3.3% / 4.0% / 1.0% respectively, with a year-on-year change of – 0.4 / – 0.3 / + 0.1 / + 0.3pct. The proportion of asset and credit impairment losses in revenue was + 0.1pct year-on-year. Under the comprehensive impact, the net profit margin attributable to the parent company was 4.3%, with a year-on-year rate of – 4.6pct. Affected by the rise of steel prices, the profit side was under obvious pressure. In 21 years, the ratio of cash received was 86.3%, year-on-year + 3.8pct, the ratio of cash paid was 98.0%, year-on-year + 11.9pct, and the net CFO was -900 million yuan, year-on-year -890 million yuan, mainly due to the increase of contract assets.
The achievements of entering BIPV are initially shown, and the heterojunction and perovskite lamination have been overweight for 22 years
The company controlled Zhejiang hete Optoelectronics in July 21 and entered the BIPV business. Its intelligent production line with an annual output of 1 million square meters of BIPV modules has been put into operation. By the end of 21, hete optoelectronics had signed more than 20 million yuan of orders. In the 22nd year, hete plans to industrialize the technology of high-efficiency heterojunction and perovskite laminated battery, and transform the reserved technology into product value and barrier advantage as soon as possible through the market. We believe that in the early stage, hete optoelectronic products are introduced through EPC mode to realize rapid iteration of product performance, and the subsequent BIPV may enter the fast lane of development from 1 to N, bringing the “second growth pole” of enterprise take-off.
New business is expected to continue in large volume and maintain the “buy” rating
The profit of the company’s traditional main business is expected to gradually stabilize. In the short term, Wanjun green construction may enter the performance harvest period. In the medium and long term, entering BIPV is expected to bring greater growth space to the performance. Considering that it still takes time for new business volume, we reduced the net profit attributable to the parent company for 22-24 years to 5.1/5.9/6.6 yuan (the value was 620 / 760 million yuan 22-23 years ago) and maintained the “buy” rating.
Risk tip: BIPV business development is less than expected, steel price rise is more than expected, and order signing is less than expected.
