\u3000\u3 China Vanke Co.Ltd(000002) 050 Zhejiang Sanhua Intelligent Controls Co.Ltd(002050) )
Event: the company achieved a total operating revenue of 4.8 billion yuan in 22q1, a year-on-year increase of + 40.9%; The net profit attributable to the parent company was 450 million yuan, a year-on-year increase of + 25.8%; Deduct the net profit not attributable to the parent company of 400 million yuan, a year-on-year increase of + 25.3%.
The revenue slightly exceeded expectations, and the growth rate of the two sectors was bright. The company achieved a total operating revenue of 4.8 billion yuan in 22q1, a year-on-year increase of + 40.9%. In terms of products, we expect both sectors of the company to grow well in the first quarter: among them, 22q1 company may realize automobile zero business income of 1.6 billion yuan, a year-on-year increase of + 60%, of which Xinneng automobile zero income is about 1.4 billion yuan; The revenue generated by refrigeration and air conditioning electrical parts business is expected to exceed market expectations. The company may benefit from the transfer in of some orders from competitors, driving the high growth of four-way valves and stop valves in valves. We expect this business segment to generate revenue of 3.2 billion yuan in the first quarter, a year-on-year increase of + 33%.
The profitability has stabilized and the price linkage mechanism has been gradually improved. The overall gross profit margin of 22q1 company was 23.3%, with a year-on-year decrease of -3.9pct. Compared with the previous quarter, the decline of gross profit margin has narrowed (21q4-10.9pct), and the profitability of the company has gradually stabilized. In terms of business, we expect the gross profit margin of automobile zero unit of 22q1 company to be 23.3%, year-on-year + 0.3pct; The gross profit margin of refrigeration and air conditioning electrical parts business was 23.3%, a year-on-year decrease of 3 + percentage points. On the expense side, 22q1 company's investment efforts have been reduced, in which the sales / management / R & D / financial expense rates are 2.2% / 4.6% / 4.8% / 0.5% respectively, with a year-on-year rate of - 2.2 / - 0.9 / - 0.1 / + 0.8pct. Under the comprehensive influence, the company's 22q1 net profit margin attributable to the parent company increased from - 1.1pct to 9.4% year-on-year. We expect that in the future, with the gradual improvement of the price linkage mechanism between the company and customers and the marginal improvement of freight and raw material costs, the profitability in 22 years is expected to stabilize and rise.
Looking forward to the follow-up, the medium and long-term growth of the company has clear support. Refrigeration and air conditioning electrical parts: 1) the downstream household appliance sector is expected to usher in restorative growth under the expectation of marginal improvement in demand. Under the opportunities of energy efficiency upgrading, refrigerant switching and consumption upgrading, the advantageous product electronic expansion valve is expected to be in large quantity; 2) Or transfer in the orders received from some core air conditioning and refrigeration customers; 3) There is a strong demand for vaccine and food cold chain distribution outside China. The company's commercial refrigeration is developing at a high speed, and the space is still vast. Auto zero business, booming production and sales in the new energy vehicle market, sufficient orders in hand, enabling future growth, growth in the scale of core customers + active contact with new power vehicle enterprises are expected to achieve rapid growth with the downstream prosperity. In addition, the company invested heavily in capital expenditure and extended its business scope. According to the company's announcement, Sanhua plans to establish a joint venture with minshi Automobile Technology Research Co., Ltd. to focus on the power battery water-cooling sector products, so as to realize the integrated assembly of the company's thermal management system products and new energy power battery box. The company is expected to continue to expand the integration capacity on the basis of business collaboration and further support the company's medium and long-term growth.
Investment suggestion: Sanhua, as a global leader in thermal management, has been actively engaged in R & D, building solid technical barriers, and continuously strengthening its leading products, customers and scale advantages. Under the dual influence of high industry prosperity and high product quality, we continue to be optimistic about Sanhua's leading position and growth in the field of thermal management. We expect the net profit of 22-24 years to be RMB 2293 / 2966 / 3621 million, with a corresponding dynamic valuation of 20.9x/16.1x/13.2x, maintaining the "buy" rating.
Risk warning: risk of raw material price fluctuation; The risk of rising labor costs; Trade and exchange rate risks; The risk that the downstream sales volume is lower than expected; The risk of business expansion falling short of expectations.
