\u3000\u3 Guocheng Mining Co.Ltd(000688) 518 Shenzhen United Winners Laser Co.Ltd(688518) )
Event: the company released its 2021 annual report, achieving an operating revenue of 1.4 billion yuan, a year-on-year increase of 59.44%, and a net profit attributable to the parent company of 92 million yuan, a year-on-year increase of 37.39%. Among them, Q4 achieved a revenue of 484 million yuan, a year-on-year increase of 21.00%, and a net profit attributable to the parent company of 36 million yuan, a year-on-year decrease of 34.04%.
Revenue grew rapidly and there were abundant orders on hand. On the one hand, due to the impact of covid-19 epidemic in 2020, the production, installation and commissioning work was delayed, resulting in a low base. In addition, there were many new orders signed in 21 years, and the production, installation and commissioning work returned to normal, resulting in a significant increase in operating performance over the same period last year. The application fields of the company’s products are mainly power batteries, consumer electronics, automobiles and hardware, with revenue of 997 / 154 / 171 million yuan respectively, a year-on-year increase of 62.05% / 108.97% / 42.47%. According to the announcement, in 2022, the company will continue to consolidate the market share of power battery laser welding and strengthen the market development of consumer electronics industry and automobile industry. In terms of orders, the newly signed orders in 21 years were 3.599 billion yuan (including tax), an increase of 138.66% over the previous year, of which 85.30% of the newly signed orders came from the power battery industry.
The production capacity continued to expand, and the plant area and the number of personnel increased significantly. In response to the rapid growth of orders, the company actively plans to expand production capacity. According to the announcement, phase II of Jiangsu base and phase I of Huizhou have been put into operation in the second half of 21, with a construction area of 34000 and 73000 square meters respectively; Jiangsu phase III and Huizhou phase II, with an area of 52000 square meters and 65000 square meters respectively, have also started construction in the second half of 21, and are planned to be completed and put into operation in the second half of 2022; In addition, the company plans to build a 50000 square meter Yibin base. It is expected that after the completion of all the above construction projects, the production site of the company will be more than three times that of the end of 2020. In addition, there were 3517 employees at the end of 21, with a year-on-year increase of 84.91%, mainly R & D, design, production and commissioning personnel. The company is still expanding its technical and production personnel to further improve production efficiency and expand production capacity.
The profitability is stable and is expected to improve with the scale effect. The company’s 21-year comprehensive gross profit margin was 37.04%, a slight increase of 0.38 percentage points over the same period. The gross profit margin in Q4 was 38.42%, with a year-on-year / month on month increase of 1.53% / 2.48%; The net interest rate of the company in 21 years was 6.57%, a year-on-year decrease of 1.05 percentage points, of which the impairment loss accrued in 21 years had an impact of 1.14 percentage points. In addition, the period expense rate was 24.78%, an increase of 1.18 percentage points over the same period last year; The R & D expense rate was 7.38%, a slight decrease of 0.85 percentage points. In 21 years, the company’s accounts receivable turnover days were 115 days, a sharp decrease from 155 days last year. In addition, by the end of the 21st century, the company’s inventory was 1.804 billion yuan, contract liabilities were 1.169 billion yuan and fixed assets increased significantly year-on-year.
Profitability forecast and valuation. We continue to be optimistic about the future development of the company. It is estimated that the company’s revenue from 2022 to 2024 will be RMB 2.918/4.285/5.568 billion respectively, and the net profit attributable to the parent company will be RMB 3.17/5.57/7.31 billion respectively, corresponding to pe26 / 15 / 11 times.
Risk warning: downstream expansion is less than expected; The pattern of horizontal competition deteriorated, and the product promotion was less than expected.
