\u3000\u30 Xuchang Ketop Testing Research Institute Co.Ltd(003008) 11 Poco Holding Co.Ltd(300811) )
Event overview
The company disclosed the first quarterly report of 2022, in which the operating revenue was 202 million yuan and the net profit attributable to the shareholders of the listed company was 32 million yuan.
Analysis and judgment:
The strategy of new product listing and price increase has been significantly improved, and the profitability of the company has been improved
During the reporting period, the company achieved a revenue of 202 million yuan, a year-on-year increase of 49.94%, and a net profit attributable to the parent company of 32 million yuan, a year-on-year increase of 61.14%. The gross profit margin was 34.97%, an increase of 3 percentage points year-on-year. The company quickly promoted new products and appropriately increased the selling price of products, resulting in the rapid recovery of the company’s profitability. As a supplier of core raw materials for inverters, the company has gradually upgraded and improved the “iron silicon generation 1” metal magnetic particle core, and established a set of metal magnetic particle core system covering the application of 5KHz ~ 2MHz frequency band, which can meet the performance needs of many application fields and firmly grasp the end users. The company has made positive response plans. On the one hand, it transfers costs by raising prices. At the same time, the company continues to launch new generation materials to help customers optimize their costs. In 2021, a new ferrosilicon series product NPC was launched. As a new magnetic material facing the silicon carbide era, NPC series not only improves the DC superposition characteristics, but also optimizes the core loss, making a positive contribution to saving copper wire and improving efficiency of power module.
Explore the chip inductor market and build the second growth curve of the company
Take GPU power supply as an example. Generally, GPU needs buck power supply, the working voltage is 1.2V (reduced with the increase of process nodes), and the full load power is about 150W, which means that the current needs to be about 136a. In this scenario, the loss of peripheral components accounts for a large proportion. If metal soft magnetic particle core is used, because it has higher magnetic saturation density than ferrite, it can reduce the volume of inductance, reduce the use of copper, and finally reduce copper loss and improve work efficiency. Therefore, in many consumer electronics fields, especially in high-power application scenarios, such as power supply modules such as GPU and FPGA, the use of powder core has more advantages (low loss) than ferrite. At the same time, due to the gradual evolution of chip process nodes to 7Nm and 5nm, the working voltage is lower and the current is higher, and there will be more application scenarios of metal soft magnetic particle core. On June 10, 2021, the company signed the system development partnership agreement with Infineon. The two sides will combine the company’s metal magnetic particle core, chip inductance components and other products with Infineon’s semiconductor products to complete the strategic layout of the chip inductance track through joint development. In the future, with the rise of metauniverse, automatic driving and artificial intelligence applications, the use of GPU will continue to increase. As a potential GPU board supplier, the company will benefit in the future.
Investment advice
We maintain the company’s profit forecast. It is estimated that the annual revenue from 2022 to 2024 will be 1.002 billion yuan, 1.359 billion yuan and 1.680 billion yuan respectively, the net profit attributable to the parent company will be 174 million yuan, 272 million yuan and 342 million yuan respectively, and the EPS will be 168 million yuan, 262 million yuan and 3.3 yuan respectively. Corresponding to the closing price of 51.25 yuan / share on April 26, 2022, PE is 31x, 20x and 15x respectively, maintaining the “buy” rating.
Risk tips
The demand of photovoltaic market is not as expected, the market of new energy vehicles is not as expected, and the price of raw materials is further rising.
