\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 237 Anhui Tongfeng Electronics Company Limited(600237) )
Event: the company released the first quarterly report of 2022, and achieved an operating revenue of 250 million yuan in the reporting period, with a year-on-year increase of 0.34%; The net profit attributable to the parent company was 21 million yuan, a year-on-year increase of 24.36%; The net profit deducted from non parent company was 19 million yuan, with a year-on-year increase of 21.78%.
The prosperity of film materials is high, and the gross profit margin continues to rise. New energy vehicles, wind power, photovoltaic and other industries have strong demand, and the company’s BOPP capacitor film is in short supply. Driven by the rising price of raw material BOPP particles, the price of BOPP film continued to rise. The price of BOPP capacitor film of 22q1 company continued to rise, with a comprehensive gross profit margin of 24.42%, an increase of 2.40pp year-on-year and 4.88pp month on month. The income of 22q1 company was basically flat, mainly due to the repeated epidemic situation and tight transportation capacity in the home appliance industry downstream of AC capacitor.
Sales and management expenses increased rapidly, while financial expenses decreased. The company’s sales and management expenses were 12 million yuan and 19 million yuan respectively, with a year-on-year increase of 12.21% and 22.90% respectively. We believe that the main reasons for the rapid growth of sales and management expenses are: first, since the change of the actual controller of the company, the company has implemented a more market-oriented salary system and incentive mechanism; In addition, the company’s performance has increased significantly since 2021, which is caused by the increase of sales and management compensation. Second, the increase in logistics and transportation costs due to the rise in oil prices. Due to the decrease of the company’s financing cost, the loan interest decreased and the financial expenses decreased. Overall, the period expense rate of 22q1 company was 15.59%, an increase of 1.88pp compared with the whole year of 2021.
Sufficient orders on hand and strengthen the preparation of raw materials. At present, the company has sufficient orders on hand. By the end of the first quarter of 2022, the company’s contract liabilities were 13 million yuan, an increase of 21.70% over the end of 2021. Due to the tight supply of BOPP particles, the main raw material, and considering the impact of the epidemic, the company increased the stock of raw materials. The inventory at the end of Q1 was 238 million yuan, an increase of 14.90% over the end of 2021. Affected by this, the net operating cash flow in the first quarter was -32 million yuan. The six investment projects announced by the company in December 2020 and June 2021 made steady progress. By the end of the first quarter, the balance of projects under construction was 47 million yuan, an increase of 30.52% over the end of the 21st century.
Profit forecast and investment suggestions. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be 106 million yuan, 178 million yuan and 238 million yuan respectively. The company’s gross profit margin increased significantly and its profitability continued to improve. The transformation of thin film capacitors to new energy is expected to make a breakthrough. The current market value of the company is 3.448 billion, corresponding to 33, 19 and 14 times of PE from 2022 to 2024. Maintain the “buy” rating.
Risk tip: the price rise of the film is less than expected; Rising prices of raw materials; The commissioning progress of new projects lags behind; Customer expansion is less than expected; The epidemic affects the progress of sales confirmation
