\u3000\u30 Chongqing Baiya Sanitary Products Co.Ltd(003006) 82 Longshine Technology Group Co.Ltd(300682) )
Event: Longshine Technology Group Co.Ltd(300682) released the performance report for the first quarter of 2022. Q1 achieved an operating income of 840 million yuan, with a year-on-year increase of 39.87%. The net profit attributable to the shareholders of the listed company was 513983 million yuan, with a year-on-year increase of 4.67%. The deduction of non net profit was 472197 million yuan, with a year-on-year increase of 5.53%. The performance met our expectations.
Strategic focus on the aggregated charging business of “xindiantu”: the company grasps the historical opportunity of the rapid development of the new energy vehicle and charging service market. While continuing to build a comprehensive and highly reliable aggregated charging network, xindiantu has established the user’s mind for the use of aggregated charging services, continuously improved the user activity and the operation efficiency of charging piles, and the business volume has achieved rapid growth. By 2022, Q1 “xindiantu” aggregate charging platform has nearly 400000 charging piles and nearly 3 million registered users. The net growth of registered users in a single quarter is more than 700000, the aggregate charging capacity of the platform is more than 330 million kwh, an increase of about 7 times over the same period of last year, and the Gmv of pre purchased electricity of the platform is more than 100 million kwh. With an operating income of more than 60 million yuan, we will continue to increase investment in platform construction and marketing services.
Steady growth of energy digital business: in the face of covid-19 epidemic and other adverse factors, the company’s energy digital business maintained steady growth. Focusing on the digital transformation of energy and power industry and the construction of new power system, the company has continued to develop in the core system of power service field, new digital infrastructure and energy service operation, and the opportunities for new orders and projects have further increased. The investment of the power and energy industry around the digital transformation and upgrading in the field of power services, digital new infrastructure and digital operation services will bring deterministic opportunities for the sustained and rapid growth of the company’s energy digital business this year.
Profit forecast and investment rating: according to the latest financial report data and industry demand, we lowered the performance expectation. The net profit attributable to the parent company in 20222024 was reduced from RMB 1.101 billion, RMB 1.365 billion and RMB 1.666 billion to RMB 1.017 billion, RMB 1.230 billion and RMB 1.497 billion. The EPS in 20222024 were RMB 0.97, RMB 1.17 and RMB 1.43 respectively, and the corresponding PE valuation was 21.02x/17.37x/14.28x respectively. We continue to be optimistic about the growth of Longshine Technology Group Co.Ltd(300682) future performance, Maintain the “buy” rating.
Risk warning: macroeconomic fluctuation risk; Risk of head customer dependence; Risk of rising costs caused by business and technological innovation; Market competition and product substitution risk; Brain drain risk.
