\u3000\u3 Shengda Resources Co.Ltd(000603) 088 Jdm Jingda Machine(Ningbo)Co.Ltd(603088) )
Matters:
The company disclosed the annual report of 2021. In 2021, the company realized a revenue of 534 million yuan (year-on-year + 25.5%) and a net profit attributable to the parent company of 86 million yuan (year-on-year + 27.4%). The company plans to distribute a cash dividend of 1.80 yuan (including tax) for every 10 shares, and increase 2 shares for every 10 shares and 2 bonus shares for every 10 shares to all shareholders with capital reserve.
Ping An View:
In 2021, the revenue growth trend began to show, and the orders on hand nearly doubled. 1) Revenue side: in 2021, the company achieved an operating revenue of 534 million yuan, with a year-on-year increase of 25.5%. The company's products include heat exchanger equipment, precision press and microchannel equipment, with revenue of 242 / 203 / 72 million yuan respectively. 2) Gross profit margin: in 2021, the company's comprehensive gross profit margin was 37.6%, a slight decrease of 2.0pct year-on-year, mainly due to the change of income structure and the increase of the proportion of precision presses with low gross profit margin in income. 3) Expense side: in 2021, the total rate of the company's sales, management, R & D and finance expenses was 18.13%, a year-on-year decrease of 1.60pct, mainly due to the dilution of management expenses and R & D expenses. 4) Net profit margin: in 2021, the company's net profit margin attributable to the parent company reached 16.07%, with a year-on-year increase of 0.23pct. 5) Orders: at the end of 2021, the company's contract liabilities reached 304 million yuan, with a year-on-year increase of 92.41%, indicating a significant increase in orders on hand.
Rooted in the high growth track of new energy vehicles, the company's precision press has achieved outstanding performance. In 2021, the company's precision press achieved a revenue of 203 million yuan (year-on-year + 88.4%), with a gross profit margin of 30.2%, a significant increase of 12.7pct over the previous year. The company's precision press products have made outstanding progress in the two major tracks of new energy automobile motor iron core stamping equipment and power battery structural parts stamping equipment.
1) in terms of motor core equipment, the company's MCP series products, as the first set of key equipment in China, achieved mass sales, with a sales increase of 260% compared with 2020. It is expected to continue to be the company's flagship product of motor core press and lead the domestic substitution of new energy motor core equipment.
2) in terms of battery structural parts and equipment, the company's battery cover press is popular with manufacturers, and the sales volume is 100% higher than that in 2020; The cam drive stretching press used for stretching the cylindrical shell of the battery forms a series and realizes sales. The company took the lead in launching the servo press for 4680 battery shell forming in China, which has successfully passed the customer acceptance. It is expected to quickly seize the 4680 battery track and overtake in corners.
The demand for heat exchanger and microchannel equipment is stable and maintains good profitability. In 2021, the company's revenue from heat exchanger equipment was 242 million yuan (year-on-year + 6.3%), with a gross profit margin of 38.0%; The revenue of microchannel equipment was 72 million yuan (year-on-year - 5.0%), and the gross profit margin was 53.7%. As the company's cash cow business, the company's heat exchanger equipment and microchannel equipment maintain a leading competitive position in the industry, and has made some progress in product R & D and customer expansion, which is expected to maintain excellent profitability.
Equity incentive promotes talent stickiness and demonstrates development confidence. In March 2022, the company issued the draft of restricted stock incentive plan for 2022, which plans to grant 6.1525 million restricted shares to 86 incentive objects at a price of 5.32 yuan per share. The performance assessment requirements of the incentive plan at the company level are: the growth rate of net profit from 2022 to 2024 relative to 2021 is not less than 10% / 20% / 30%, or the growth rate of operating revenue is not less than 15% / 30% / 45%. The equity incentive plan is expected to mobilize the enthusiasm of incentive objects and further improve the comprehensive competitiveness of the company.
Investment suggestion: fine tune the company's profit forecast. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be 121 million yuan, 178 million yuan and 270 million yuan (the value before 20222023 will be 132 million yuan and 205 million yuan respectively), and the corresponding P / E ratio will be 18 times, 12 times and 8 times respectively. As a leader in the subdivision of multiple tracks of special punch, the company ushered in an explosion in the performance of new energy equipment and maintained the "recommended" rating.
Risk tips: (1) the expansion of lithium battery structural parts manufacturers is less than the expected risk. In recent years, investment in the global lithium battery industry has been hot. If the downstream market capacity expansion is less than expected, the company's lithium battery structure equipment business income may be affected. (2) Risk of decline in gross profit margin. The price fluctuation of raw materials, the increase of human resource cost, the increase of depreciation caused by project construction and operation may lead to the further increase of product cost and affect the gross profit margin of the company. (3) Inventory falling price risk. Due to the long production cycle of products, there may be the risk of price decline of inventory raw materials and finished products. In addition, the decline of exchange rate will also lead to the risk of inventory price decline.
