\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 633 Great Wall Motor Company Limited(601633) )
Core view
In the first quarter, the revenue increased year-on-year, and the performance was basically flat year-on-year. In 2022, Q1 company achieved a revenue of 33.6 billion yuan, a year-on-year increase of + 8% and a month on month increase of – 26%; The net profit attributable to the parent company was 1.63 billion yuan, flat year-on-year and – 8% month on month;, Deduct non net profit of RMB 1.3 billion, with a year-on-year increase of – 2% and a month on month increase of + 137%.
Bicycle revenue reached a record high, and the net profit of bicycle increased sharply Great Wall Motor Company Limited(601633) 2022: the average price of Q1 single car was 119000 yuan, with a year-on-year increase of + 27000 yuan and a month on month increase of + 4000 yuan. The revenue of single car reached a record high. In 2022, Q1 company’s single vehicle net profit was 5800 yuan, a year-on-year increase of + 100000 yuan and a month on month increase of + 13000 yuan; The non net profit of single vehicle deduction was 4600 yuan, a year-on-year increase of + 0700 yuan and a month on month increase of + 3200 yuan. We believe that it is mainly due to the optimization of sales structure and the reduction of one-time expenses. The company will continue to implement the category focus strategy, strengthen international market development, promote the development of electric intelligence, further optimize the product structure, and the profitability is expected to continue to improve. Accelerated transformation of intelligent electrification, continued promotion of globalization and accelerated reform and innovation Great Wall Motor Company Limited(601633) has made precise investment in hybrid, pure electricity and hydrogen energy, and successively launched various strategies and advanced technologies. In terms of intelligence, there are landing products in the field of intelligent driving and intelligent cockpit. In 2021, the company proposed to transform into a global intelligent technology company, focusing on the global R & D, production, sales system and talent construction. By the end of 2021, Great Wall Motor Company Limited(601633) has been exported to more than 170 countries and regions, with a cumulative overseas sales of more than 900000 vehicles. In terms of organizational change, Great Wall Motor Company Limited(601633) through “strong back office, big middle office and small front desk”, establish a global version 3.0 organizational structure. The future market of new platform models can be expected, and the brand is firm and upward. By brand, in 2021, EULA sold 135000 vehicles (+ 133%), pickup trucks sold 233000 vehicles (+ 26%), Haval sold 77000 vehicles (+ 3%), wey sold 58000 vehicles (- 26%), and tanks sold 85000 vehicles. In the first quarter of 2022, Harvey sold 167000 vehicles (YoY – 25%, Mom – 26%), wey sold 14000 vehicles (YoY + 22%, Mom – 36%), pickup truck sold 43000 vehicles (YoY – 28%, Mom – 35%), Euler sold 34000 vehicles (YoY 10%, Mom – 33%), and tank sold 26000 vehicles (YoY + 80%, Mom – 20%). Relying on “lemon + tank + coffee intelligence”, the company has strong ability to create popular models, and the new platform is expected to bring a new round of strong product cycle. Under the pressure of supply side in 2022, the company firmly promotes the reform of brand upward and new channel mode to ensure the stability of profits.
Risk tip: the risk of industry sales decline and the risk of new models failing to meet expectations.
Investment advice: maintain profit forecast and buy rating. We maintain the company’s profit forecast and expect to realize a net profit attributable to the parent company of RMB 8.5/13.1/18.1 billion in 22-24 years. As the leader of independent automobile enterprises, the company has great profit elasticity and is expected to significantly benefit from the industry recovery and the layout of new platforms, maintain a one-year target share price of RMB 35-43, corresponding to 25-30 times of PE in 2023, and maintain the “buy” rating.
