\u3000\u3 China Vanke Co.Ltd(000002) 483 Jiangsu Rainbow Heavy Industries Co.Ltd(002483) )
Event: on April 25, 2022, the company released the first quarter report of 2022. During the reporting period, the company achieved an operating revenue of 898 million yuan, a year-on-year increase of 3.51%; The net profit attributable to shareholders of listed companies was 49 million yuan, a year-on-year decrease of 47.25%.
Comments:
The late sea breeze bidding and the epidemic situation in various places affect the company’s short-term income. In the first quarter of 2022, the company’s total revenue was 898 million yuan, lower than the industry expectation. There are two main reasons. One is that the sea breeze bidding is late, which leads to the company receiving orders later, and the sea breeze business is affected. In addition, in the first quarter of the year, there were epidemics all over the country, and there were frequent closures on highways in China, which blocked the transportation of raw materials and company products, and adversely affected the delivery cycle and raw material cost. However, the delivery cycle of the company’s material and equipment business is long, and the impact of short-term performance can be made up after the epidemic situation improves. If the bidding of Haifeng business is good throughout the year, it can still ensure the income level of the whole year. The company’s environmental protection business is under certain pressure. The epidemic has led to a decline in demand and a corresponding decline in the company’s capacity utilization, which has a certain impact on its income and profitability.
The south base is still under planning, and the final plan is taking shape. On March 7, 2022, the company issued the announcement on signing the equity acquisition framework agreement. The south base is advancing in an orderly manner, and Yangjiang wharf will become an important starting point for the company to develop the sea breeze business in Guangdong. At the same time, the company’s south base is also expected to become an important base for other businesses of the company and open up a broad market for the company’s main business.
The medium and long-term development of logistics handling business is good. Material handling business is one of the company’s core businesses. During the reporting period, the company’s material handling business basically met expectations. Although the outbreak of epidemic in various regions theoretically had a certain impact on the company’s material handling business demand, the delivery cycle of the company’s material handling business was long, and a large number of orders were not delivered and confirmed in the fourth quarter of 21, so the performance in the first quarter was good. In the long run, Koch, a subsidiary of the company, has gradually demonstrated its competitiveness and successively obtained large orders of 1.9 billion yuan and 6.559 billion yuan, which not only reflects its technical strength, but also ensures the income of the whole year.
Profit forecast and investment rating: we predict that the net profit from 2022 to 2024 will be 395 million yuan, 551 million yuan and 710 million yuan respectively, and the corresponding EPS will be 0.42 yuan / share, 0.58 yuan / share and 0.75 yuan / share respectively, corresponding to 13 times, 9 times and 7 times of the current share price PE respectively. Maintain the company’s “buy” rating.
Risk factors: the construction of South base is not as expected; The epidemic control was not as expected; Raw material prices continued to rise.
