\u3000\u30 Chongqing Baiya Sanitary Products Co.Ltd(003006) 81 Zhuhai Enpower Electric Co.Ltd(300681) )
Event: on April 22, the company released the annual report of 2021 and the first quarterly report of 2022. In 2021, the operating revenue was 976 million, a year-on-year increase of 131.80%, the net profit attributable to the parent company was 47 million, a year-on-year increase of 256%, and the gross profit margin was 20.7%; In 2022, Q1 achieved an operating revenue of 353 million, a year-on-year increase of 363%, and the net profit attributable to the parent company was 18 million.
From 2021q4 to 2022q1, the revenue increased rapidly and the profitability was under pressure. In the single quarter of Q4 in 2021, the company's revenue achieved high growth, and the annual net profit returned to the parent company after deducting non-profit was 13 million yuan, which was profitable compared with Q3. The expense rate of Q1 company in 2022 was 16.4%, a decrease of about 2 percentage points compared with that in 2021, of which the R & D expenses were about 9.4%. The decrease in expense rate was mainly due to sales expenses. High growth of the company's revenue: 1) the rapid volume of supporting models, including Wuling miniev, Geely and Weima, drives the high growth of the company's revenue; 2) Supporting Hangcha electric forklift and other special vehicles and commercial vehicle projects; 3) High growth of new energy vehicle industry in 2021; 4) Improve delivery capacity. The main reasons for the pressure on the company's profitability in 2021 are as follows: 1) the rise in the price of raw materials has an impact on the company's profitability, including silicon steel sheet, magnetic steel, enamelled wire, chip and power semiconductor devices; 2) The total provision for inventory impairment and credit impairment is 23 million yuan; 3) The shipments of new products such as integrated cores are still small, and the scale effect has not yet been reflected, resulting in a relatively low gross profit margin of electric drive assembly products.
In 2022, the company's revenue is expected to maintain rapid growth, and the improvement of profitability can be expected. According to the announcement, the company delivered more than 190000 sets of electric drive assemblies in 2021, accounting for about 6.37% of the market. In 2022, with the expansion of original models and new models such as GM Wuling, Geely, Chery, Weima and great wall, as well as the improvement of the company's delivery capacity, the company's revenue is expected to continue to maintain high growth. The company's profitability is expected to improve in 2022: 1) improve the product structure and increase the proportion of products with high single vehicle value such as integrated cores; 2) The price of raw materials gradually stabilized, and the pressure on the cost side was partially transmitted; 3) Accelerating domestic substitution of core supply chains such as chips; 4) With the gradual maturity of the company's single pipe parallel technology, the cost side optimization is expected to be reflected; 5) With the increase and volume of designated customers, the scale effect is gradually reflected. On the whole, the company's low profit due to industrial policies, new product research and development, raw material price fluctuations and other reasons has passed. With the implementation of new customers and new production capacity, the company's profitability can be improved.
The company's products continue to iterate and its production capacity continues to expand. According to the company's announcement, the company plans to rely on the development of six in one system in 2022, 1) complete the development of flat wire motor platform and automatic production process of "integrated core" version 2.0; 2) Based on SiC devices, the platform development of 11kw on-board charging system meeting functional safety iso26262 and AUTOSAR is completed. The company's product iteration mainly focuses on the improvement of the power density of the integrated core powertrain, the increase of endurance mileage, and the development trend of 800V high-voltage platform, which can effectively shorten the charging time. The company's production expansion is accelerated, and the delivery capacity is expected to be improved. According to the announcement of the company, there are 100000 sets of power assemblies and 100000 sets of electric drive assemblies in Zhuhai base. It is planned to expand the production to 300000 sets of drive assemblies and 300000 sets of power assemblies through a 1.5-year construction cycle; The production capacity of Heze base in Shandong Province mainly focuses on A00 vehicles and special vehicles. After the expansion, it will have the production capacity of 200000 sets of motor controllers and drive motors of A00 vehicles, 100000 sets of motors and electric controls of special vehicles and 200000 sets of power assemblies. In 2022, with the expansion of the company's production capacity and the large volume of supporting models, the company's revenue is high and the growth certainty is strong. It is expected to achieve double growth of revenue and performance throughout the year.
Investment suggestion: we predict that from 2022 to 2024, the company will realize an operating revenue of RMB 2.29/47.0/8.84 billion and a net profit of RMB 160 / 34.4/750 million. The current share price corresponds to 35 / 16 / 7 times of PE. Maintain the "Buy-A" rating, and the six-month target price is 97.5 yuan / share.
Risk tip: the impact of the lack of core in the automotive industry, the risk that the sales volume of new energy vehicles is lower than expected, and the risk of fluctuations in the price of raw materials.
