\u3000\u30 Beijing Zznode Technologies Co.Ltd(003007) 50 Contemporary Amperex Technology Co.Limited(300750) )
Key investment points:
Event: Contemporary Amperex Technology Co.Limited(300750) released the 2021 annual report, and achieved a revenue of 130356 billion yuan in 2021, with a year-on-year increase of 159.06%; The net profit attributable to the parent company was 15.931 billion yuan, a year-on-year increase of 185.34%; The net profit after deducting non-profit was 13.442 billion yuan, a year-on-year increase of 215.2%.
Comments:
The performance increased significantly, the gross profit margin was under pressure, and the cost control was strengthened to improve the net profit margin. In 2021, the company achieved a revenue of 130356 billion yuan, a year-on-year increase of 159.06%; The net profit attributable to the parent company was 15.931 billion yuan, a year-on-year increase of 185.34%; The gross profit margin was 26.28%, a year-on-year decrease of 1.48 PCT; The net interest rate was 13.7%, up 1.57pct year-on-year. Among them, 2021q4 achieved a revenue of 56.994 billion yuan, a year-on-year increase of 203.21% and a month on month increase of 94.61%; The net profit attributable to the parent company was 8.180 billion yuan, an increase of 267.41% year-on-year and 150.36% month on month; Q4 gross profit margin was 24.7%, down 3.56pct year-on-year and 3.2pct month on month; The net interest rate was 15.29%, up 2.41 PCT year-on-year and 2.25 PCT month on month. Under the pressure of the sharp rise in the price of raw materials, the company’s gross profit margin fell. By strengthening the cost control and improving the net profit margin, the cost rate during 2021q4 was 19.93%, a year-on-year decrease of 3.38pct and a month on month increase of 0.98pct. The cost rate during 2021 was 11.34%, a year-on-year decrease of 2.26pct. By the end of 2021, the company’s contractual liabilities were RMB 11.538 billion, a year-on-year increase of 67.82%, and its inventory was RMB 40.2 billion, a year-on-year increase of 203.98%.
Electric vehicles, energy storage and lithium battery materials all work together. In 2021, the company achieved 133.41 GWH of lithium battery sales, with a year-on-year increase of 184.82%, including 116.71 GWH of power battery system sales, with a year-on-year increase of 162.56%. In 2021, the sales revenue of power battery system was 91.491 billion yuan, with a year-on-year increase of 132.06%, accounting for 70%. The company deepened its long-term strategic cooperation with Tesla, Hyundai, Ford, Daimler, Great Wall Motor Company Limited(601633) , ideal, Weilai and other global customers. The supply framework agreement signed with Tesla in June 2021 agreed that the company would supply products to Tesla from 2022 to 2025. In the field of energy storage, the sales revenue of energy storage system reached 13.624 billion yuan in 2021, with a year-on-year increase of 601.01%. Strategic cooperation agreements have been signed with national energy group, China Energy Engineering Corporation Limited(601868) , China Huadian, Three Gorges group, Sungrow Power Supply Co.Ltd(300274) , Atlas, Eaton and other enterprises, and high growth can be expected in the future. In addition, in 2021, the company achieved a sales revenue of 15.457 billion yuan of lithium battery materials, a year-on-year increase of 350.74%.
Technological innovation is leading, production capacity continues to expand, and the global leading position is stable. The company’s R & D expenses in 2021 were 7.691 billion yuan, a year-on-year increase of 115.48%. The company’s technology continues to iterate to continuously improve the competitiveness of products. It took the lead in launching sodium batteries in 2021. The second-generation lithium iron phosphate CTP products have been delivered in large quantities. The third-generation CTP technology has been developed. High voltage ternary products have been widely used in passenger cars with a endurance of less than 700km. The lithium iron phosphate has been mass produced and supplied, and the maximum energy density of battery cells has reached 200wh / kg. In terms of capacity, the company’s annual battery capacity increased from 69.1gwh in 2020 to 170.39gwh in 2021, and the capacity under construction was 140gwh. The company has a prominent global leading position in the field of power batteries and energy storage batteries. In 2021, the global market share of power battery usage was 32.6%, an increase of 8pct year-on-year, and the output of energy storage batteries ranked first in the global market share.
Investment advice: maintain the recommended rating. It is estimated that the company’s EPS in 2022 and 2023 will be 12.21 yuan and 17.42 yuan respectively, and the corresponding PE will be 34 times and 23 times respectively, maintaining the recommended rating.
Risk warning. The sharp rise in the price of raw materials leads to the risk of decline in gross profit margin; The production and sales of new energy vehicles are less than expected, resulting in the risk of demand decline; Market competition intensifies risks; New product and new technology iteration risk, etc.
