\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 438 Tongwei Co.Ltd(600438) )
In 2021, the net profit attributable to the parent company was 8.208 billion yuan, a year-on-year increase of 127.50%.
In 2021, the company achieved a total operating revenue of 63.491 billion yuan, a year-on-year increase of 43.64%; The net profit attributable to the parent company was 8.208 billion yuan, a year-on-year increase of 127.50%. In 2022q1, the company achieved a total operating revenue of 24.685 billion yuan, a year-on-year increase of 132.49%; The net profit attributable to the parent company was 5.194 billion yuan, a year-on-year increase of 513.01%. The substantial improvement of the company’s performance is mainly due to the expansion of the company’s high-purity crystalline silicon business and Cecep Solar Energy Co.Ltd(000591) battery business and the increase of product prices.
High purity crystalline silicon: the output will be the first in the world in 2021, and the new production capacity will be gradually released.
In 2021, the company’s high-purity crystalline silicon and chemical business realized a revenue of 18.761 billion yuan, a year-on-year increase of 186.89%; The gross profit margin was 66.69%, with a year-on-year increase of 31.99pct. The company achieved 109300 tons of polysilicon production throughout the year, with a year-on-year increase of 26.85%. The output of the company ranks first in the world, and the Chinese market share reaches 22%. In 2021, the 50000 ton Leshan phase II and 50000 ton Baoshan phase I projects of the company were put into operation successively. By the end of the year, the company had formed an annual production capacity of 180000 tons of high-purity crystalline silicon. At present, the total capacity of the company’s projects under construction is 170000 tons, of which the 50000 ton project of Baotou phase II is expected to be put into operation in 2022 and the 120000 ton project of Leshan phase III is expected to be put into operation in 2023. At that time, the company’s capacity will reach 350000 tons. In 2021, the single crystal rate of the company’s high-purity crystalline silicon products exceeded 99%, and the batch supply of n-type materials has been realized. In terms of cost, the average comprehensive power consumption per unit of the company’s products decreased by 12% year-on-year, and the steam consumption decreased by 55% year-on-year.
Cecep Solar Energy Co.Ltd(000591) battery: the shipment volume ranks first in the world for five consecutive years, and hjt + TOPCON work together. In 2021, the company’s sales of batteries and components reached 34.93gw, with a year-on-year increase of 57.61%; The gross profit margin of single crystal battery is 28.8%. According to pvinfolink, the company’s battery shipments have ranked first in the world for five consecutive years. By the end of 2021, the nominal annual capacity of the company had reached 45gw, and the large-scale capacity of 182 and above accounted for more than 70%. Combined with the existing investment schedule, the company expects the battery capacity to reach 80-100gw in 2023. In 2021, the average non silicon cost of the company’s single crystal perc battery has been reduced to less than 0.18 yuan / W, a decrease of 11% over the previous year, especially the cost of large-size non silicon. In terms of technology, the company has newly put into operation 1GW hjt pilot line. At present, the R & D and mass production efficiency of hjt have been greatly improved, and the research and development of silver slurry replacement has made phased progress; The company has carried out mass production research and development of TOPCON technology at the same time. At present, 1GW TOPCON project has been successfully put into operation. By the end of 2021, the average efficiency of the company’s single crystal cell mass production was 23.53%; The highest efficiency of R & D is 25.45%.
Profit forecast and valuation
The company is a double leader in photovoltaic polysilicon and cell chips, and its production capacity will be expanded in an orderly manner in the future. We expect the net profit attributable to the parent company from 2022 to 2024 to be 17.009 billion yuan, 17.311 billion yuan and 17.536 billion yuan respectively, with corresponding EPS of 3.78, 3.85 and 3.90 yuan / share, and corresponding valuations of 9.31 times, 9.15 times and 9.03 times respectively.
Risk tip: polysilicon price falls; The demand for photovoltaic installation is less than expected.
