\u3000\u3 China Vanke Co.Ltd(000002) 139 Shenzhen Topband Co.Ltd(002139) )
The company released the first quarterly report of 2022, realizing an operating revenue of 1.868 billion yuan, a year-on-year increase of 10.02%, and the net profit attributable to shareholders of listed companies was 94 million yuan, a year-on-year decrease of 60.70%. After deducting non recurring profits and losses, the net profit attributable to shareholders of listed companies was 58 million yuan, a year-on-year decrease of 62.39%.
Affected by the epidemic, the performance is under pressure, and the gross profit margin has improved month on month. In the first quarter, the company’s production delivery and raw material supply were affected to some extent, and the overall revenue was lower than expected. Among them, the new energy and intelligent solutions business reached the target at the beginning of the year, with a high growth rate. Q1 gross profit margin was 19.01%, with a year-on-year decrease of 4.74pct and a slight increase of 1.9pct month on month. As the prices of some raw materials such as semiconductors and transistors remained high and the supply was tight, some high priced materials reserved by the company in the early stage were consumed and included in the cost. There was a certain time lag in downstream price transmission, which affected the gross profit margin. The three expenses (sales, R & D and management expenses) increased by about 80 million yuan year-on-year, and the equity incentive expenses increased significantly year-on-year. The R & D investment of 2021h2 new projects increased, and some overseas bases entered the investment period, which increased the expenses. At the same time, the income from changes in the fair value of the company’s foreign investment decreased by about 65 million yuan year-on-year, further leading to the decline of the company’s net profit. The company strengthened the recovery of accounts receivable, and the net cash flow from operating activities was 631378 million yuan, a significant year-on-year increase of 141.81%, and the ability of cash flow control was significantly improved. The company disclosed the first share repurchase plan in late March. It plans to use its own funds to repurchase a total of 40-60 million yuan. The repurchased shares will be used to implement equity incentive or employee stock ownership plan for the company’s core backbone employees. As of the end of March, 1863600 shares have been repurchased, accounting for 0.15% of the total share capital, demonstrating the company’s confidence in long-term development.
Global production capacity layout, enhance supply capacity, increase R & D investment and enhance competitiveness. Under the trend of multi regionalization of the global industrial chain, the company has established more than 10 regional operation centers, production and manufacturing centers, R & D centers and representative offices outside China. At present, Huizhou subsidiary is the main source of production capacity of the company, with stable expansion of production capacity to meet the demand of rapid growth; Ningbo operation base and Nantong lithium battery industrial park in the Yangtze River Delta are expected to be put into use this year; The China India subsidiary in Southeast Asia will reach the capacity target set at the beginning of adulthood in 21 years. Vietnam’s phase I will contribute about 552 million yuan of output value in 21 years, and phase II will contribute new capacity this year; The new overseas operation centers in Germany and North America and the manufacturing centers in Romania and Mexico in Europe and the United States in the past 21 years are steadily advancing the construction. The international layout further improved the company’s service response speed and realized agile delivery. Under the influence of the epidemic in the first quarter, the company took advantage of the capacity layout in many places in China and the advantages of overseas factories to optimize capacity allocation and ensure the timely delivery of customer orders to the greatest extent. The company continued to promote the technology accumulation and application of “four electricity and one network” technology in five industries, and accelerated the integration and application of new technologies such as AI, IOT and 5g and the implementation of new scenarios. 22q1 invested 120 million yuan in R & D, with a year-on-year increase of 37.50%, and fixed assets increased by 476 million. Ningbo East China operation center began to be put into operation gradually to enhance the customer service capacity in East China.
The business planning is clear and the new energy business is developing rapidly. Focusing on the business layout of “four electricity and one network”, the company announced the plan to spin off its subsidiary from research control automation to GEM Listing in March. The spin off is conducive to the company to focus more on the fields of household appliances, tools, new energy and other fields and realize business focus. In the 21st year, the company added two business segments of new energy and intelligent solutions. Among them, the new energy business is mainly oriented to the two application fields of energy storage and green travel. It provides products and system solutions including inverter, battery cell, battery management system, battery pack, power exchange cabinet, pack, motor control and so on for communication base station energy storage, household energy storage, two or three wheeled vehicles, other special vehicles, new energy vehicles, Internet of things and other fields, Intelligent solutions take the company’s aiot technology platform and intelligent product innovation ability as the core, and provide a comprehensive customized solution of “innovative products + aiot platform + customized services” for subdivided scenes such as industry, hotels and parks. In 21 years, the new energy sector achieved revenue of 1.241 billion yuan, with a year-on-year increase of 38.86%, of which energy storage increased by 37.74% to 881 million yuan, green travel increased by 41.66% to 360 million yuan, and the revenue of intelligent solutions increased by 60.4% to 221 million yuan. The new energy and intelligent solutions business continued to grow rapidly in the first quarter of 22 years. Driven by the dual carbon policy, the company’s demand for new energy products is expected to grow rapidly.
Investment suggestion: Shenzhen Topband Co.Ltd(002139) is a leading provider of intelligent control solutions in China. New energy provides the third driving force for growth. In the short term, the epidemic situation and supply chain pressure are under pressure, and the performance is under pressure. In the medium and long term, the intelligent and energy reform drive the controller business to grow steadily. Considering the impact of the current epidemic and supply chain pressure, we lowered the company’s profit forecast. It is estimated that the net profit from 2022 to 2024 will be 673 million / 974 million / 1.282 billion yuan (the original forecast value from 2022 to 2023 is 865 million / 1.118 billion yuan), and the EPS will be 0.54 yuan / 0.78 yuan / 1.02 yuan, maintaining the “buy” rating.
Risk warning: the risk of price rise and supply shortage of upstream raw materials; Risk of recurrent outbreaks; The application of intelligent controller in downstream industry is less than the expected risk; Market competition intensifies risks; Exchange rate fluctuation risk
