\u3000\u30 Beijing Zznode Technologies Co.Ltd(003007) 50 Contemporary Amperex Technology Co.Limited(300750) )
Event: Contemporary Amperex Technology Co.Limited(300750) issued the annual report for 2021.
The annual performance in 2021 is in line with expectations. In 21 years, the company achieved revenue of 130356 billion yuan, a year-on-year increase of + 159%; The net profit attributable to the parent company was 15.931 billion yuan, a year-on-year increase of + 185%; The net profit deducted from non parent company was 13.442 billion yuan, a year-on-year increase of + 215%. The actual performance fell above the median of the previous performance forecast range, in line with expectations.
The rise in the price of raw materials has led to pressure on the gross profit margin, highlighting the scale effect, and driving the rise of net profit margin against the trend. In the 21st year, the company’s comprehensive gross profit margin was 26.28%, with a year-on-year increase of -1.48pcts; The net interest rate was 13.70%, with a year-on-year increase of + 1.57pcts. In 21 years, affected by the rising price of upstream raw materials, the company’s gross profit margin declined slightly; At the same time, the company’s scale effect is prominent, and the expense rate has decreased significantly, driving the company’s net interest rate to rise against the trend. In 21 years, the company’s sales / management / R & D / financial expense rates were 3.35% / 2.58% / 5.90% / – 0.49% respectively, with a year-on-year rate of -1.06pcts / – 0.93pcts / – 1.19pcts / + 0.93pcts respectively, and the total expense rate during the period was -2.25pcts.
In the fourth quarter, the sales volume in the peak season was obvious, and the net profit attributable to the parent increased by 150% month on month. 21q4, the company achieved a revenue of 56.994 billion yuan, a year-on-year increase of + 203% and a month on month increase of + 95%; The net profit attributable to the parent company was 8.180 billion yuan, a year-on-year increase of + 267% and a month on month increase of + 150%; The net profit deducted from non parent company was 6.839 billion yuan, with a year-on-year increase of + 303% and a month on month increase of + 155%. Q4 profit growth is higher than revenue growth, and the profit increasing effect is obvious.
In the fourth quarter, the gross profit margin fell by 3.2pcts month on month, and the net profit margin increased by 2.25pcts month on month. 21q4, the company’s comprehensive gross profit margin was 24.70%, with a month on month ratio of -3.2pcts and a year-on-year ratio of -3.66pcts; The comprehensive net interest rate was 15.29%, with a month on month increase of + 2.25 PCTs and a year-on-year increase of + 2.41 PCTs. 21q4 affected by the improvement of scale effect and the company’s expense control, the sales / management / R & D / financial expense ratio was 3.05% / 2.00% / 5.43% / – 0.25% respectively, with a month on month ratio of -0.48pcts / – 0.74pcts / – 0.72pcts / + 0.01pcts respectively, and the total expense ratio during the period was -1.93pcts. In addition 21q4, after some equity investments of the company have no significant impact, the investment income is recognized as 920 million yuan according to the profits generated from re measurement at fair value, contributing about 1.6% of the profit margin. The production and sales of the company doubled in 21q4, and the cost rate decreased significantly driven by the scale effect; In addition, the company raised prices for many times in the second half of 21 years and 22q1 products, which is expected to conduct downward transmission of raw material costs. We expect the company’s gross profit margin to usher in a repair inflection point in 22 years.
In terms of revenue structure, the power / energy storage / lithium battery materials business accounted for 70% / 10% / 12% of the company’s revenue in 21 years, with a year-on-year increase of – 8pcts / + 7pcts / + 5pcts respectively, of which the power of energy storage products was obvious.
In terms of specific business: (1) power battery system: sales volume 116.71gwh, year-on-year + 163%. The gross profit margin was 22%, with a year-on-year increase of -4.56pcts. The sales unit price is about 0.78 yuan /wh, and the unit gross profit is 0.17 yuan /wh. (2) Energy storage system: sales volume: 16.70gwh. The gross profit margin was 28.52%, with a year-on-year increase of -7.51pcts. The sales unit price is about 0.82 yuan / wh, and the unit gross profit is 0.23 yuan / wh. (3) Lithium battery materials: the sales volume was 283800 tons, a year-on-year increase of + 314%. The gross profit margin was 25.12%, with a year-on-year increase of + 4.66pcts. The sales unit price is about 54500 yuan / ton, and the unit gross profit is 13700 yuan / ton.
R & D: the company has maintained high R & D investment, with R & D expenses of 7.7 billion yuan in 21 years and a total of more than 10000 R & D personnel. New technology products such as sodium ion battery, AB battery system, third-generation CTP technology and non thermal diffusion technology are promoted in an orderly manner, which is expected to further strengthen the competitiveness of the company’s products.
Profit forecast and Valuation: we expect the company to realize a net profit attributable to the parent company of 29.637/41.906/54.380 billion yuan in 22-24 years, with a year-on-year increase of 86% / 41% / 30% respectively, and the valuation of PE is 32.2/22.8/17.5 times respectively, maintaining the “buy” rating.
Price fluctuation risk of raw materials; The company’s capacity construction is less than expected; Market competition intensifies risks; Downstream demand is less than expected risk.
