\u3000\u30 Fawer Automotive Parts Limited Company(000030) 26 Zhejiang Mtcn Technology Co.Ltd(003026) )
In 2021, the company achieved high performance growth and sufficient growth momentum, maintaining the “buy” rating
On April 25, 2022, the company released the annual report of 2021 and the first quarterly report of 2022. The company achieved a revenue of 437 million yuan in 2021, a year-on-year increase of + 60.13%; The net profit attributable to the parent company was 131 million yuan, a year-on-year increase of + 51.44%; Deduct non net profit of 127 million yuan, a year-on-year increase of + 52.75%; The gross profit margin was 46.77%, with a year-on-year increase of -1.66pcts. In 2021q4, the company achieved a revenue of 124 million yuan in a single quarter, a year-on-year increase of + 57.93% and a month on month increase of – 4.10%; The net profit attributable to the parent company was 18 million yuan, with a year-on-year increase of – 28.55% and a month on month increase of – 56.32%; Deduction of non net profit was 18 million yuan, with a year-on-year increase of – 26.08% and a month on month increase of – 54.88%. In 2022q1, the revenue reached 96 million yuan in a single quarter, with a year-on-year increase of + 12.92% and a month on month increase of – 22.50%; The net profit attributable to the parent company was 20 million yuan, with a year-on-year increase of – 41.87% and a month on month increase of + 14.77%; Deduct non net profit of 20 million yuan, with a year-on-year increase of – 30.60% and a month on month increase of + 10.41%. The company has strong technical strength, actively expand production, expand power chip business and sufficient growth momentum. We maintain the performance forecast for 20222023 and add the performance forecast for 2024. It is estimated that the net profit attributable to the parent company in 20222024 will be 170 / 257 / 308 million yuan, corresponding to EPS of 1.70/2.58/3.09 yuan, and the current share price corresponding to PE of 24.1/15.9/13.2 times, maintaining the “buy” rating.
Strong downstream demand, actively expand production and expand power chip business, with promising prospects
In terms of products, the company’s revenue of semiconductor monocrystalline silicon wafer in 2021 was 282 million yuan, a year-on-year increase of + 48.46%, and the gross profit margin reached 49.58%, a year-on-year increase of + 1.66 PCTs; The revenue of semiconductor monocrystalline silicon rod was 85 million yuan, a year-on-year increase of + 7.16%; The gross profit margin reached 43.22%, a year-on-year increase of -8.19 PCTs; The new business revenue of semiconductor power chips and devices was 62 million yuan, with a gross profit margin of 37.79%. At present, the company has completed the process commissioning of the project of raising funds to invest and expand the production of monocrystalline silicon wafers. While consolidating the market position of small-size silicon wafers, the company has steadily expanded the market of large-size silicon wafers, based on the present and planning for the long term. In 2021, the company set up a joint venture Jiangsu Gaoxin, holding 51% of the shares, to expand power chips and realize the integrated layout of upstream and downstream resources of the industry. It plans to complete the expansion of production capacity through the construction of new plants, further enrich the company’s product types and create new growth points. In 2021, the company invested 15.06 million yuan in R & D, a year-on-year increase of + 53.67%. Most of the new production capacity in the world is 12 inch polished wafers. The new production capacity of 8-inch and below silicon wafers is limited and the supply is tight. The demand for 8-inch and below silicon wafers in logic chips, automobile chips and other fields is also expected to grow. 12 inch silicon wafers cannot be replaced in some fields. As a major supplier of semiconductor silicon wafers, the company has a promising future.
Risk tip: the impact of the epidemic leads to a decline in demand, the company’s R & D progress is less than expected, and the competition intensifies the risk
