\u3000\u30 Zhongyan Technology Co.Ltd(003001) 18 Risen Energy Co.Ltd(300118) )
In 2021 and 2022q1, the net profit attributable to the parent company was – 42 million yuan and 213 million yuan respectively.
In 2021, the company achieved a total operating revenue of 18.831 billion yuan, a year-on-year increase of 17.23%; Net profit attributable to parent company -42 million yuan; The comprehensive gross profit margin was 6.61%, a year-on-year decrease of 7.04pct; In 2022q1, the company achieved a total operating revenue of 5.414 billion yuan, a year-on-year increase of 40.46%; The net profit attributable to the parent company was 213 million yuan, a year-on-year increase of 280.59%; The comprehensive gross profit margin was 13.50%, with a year-on-year increase of 4.06 PCT, mainly due to the increase of component sales and the contribution of silicon investment income.
Cecep Solar Energy Co.Ltd(000591) battery modules: the sales volume increased steadily and the production capacity of high-efficiency battery modules was steadily expanded.
In 2021, the company’s Cecep Solar Energy Co.Ltd(000591) battery modules realized an operating revenue of 13.209 billion yuan, a year-on-year increase of 12.16%; The gross profit margin was 1.13%, a year-on-year decrease of 7.97pct, mainly due to the rise in the price of raw materials. In 2021, the company’s component sales volume was 8.11gw, with a year-on-year increase of 7.63%, including 5.7gw of overseas shipments, accounting for about 70% of the overseas market; The production volume was 8.63gw, with a year-on-year increase of 23.11%; The inventory was 8.23gw, with a year-on-year increase of 170.15%. By the end of 2021, the company’s component capacity was 19.1gw. During the reporting period, Anhui Chuzhou 5gw210 large-size battery module capacity was added. In 2022, it is proposed to raise and invest 5 billion yuan for 5gwn type hjt battery and 10GW Cecep Solar Energy Co.Ltd(000591) component projects.
Photovoltaic power station: the EPC business continues to grow and optimize the asset structure of existing power stations.
In 2021, the company’s photovoltaic power station business realized a total operating revenue of 1.943 billion yuan, a year-on-year increase of 6.49%; Among them, the EPC operating revenue of photovoltaic power station was 1.176 billion yuan, a year-on-year increase of 21.08%; The gross profit margin was 15.98%, a year-on-year decrease of 3.29pct; Electricity revenue was 766 million yuan, a year-on-year increase of – 10.13%; The decline in revenue is due to the company selling more stock subsidized power stations to optimize the power station structure. In 2021, the sales volume of power stations was 0.87gw, with a year-on-year increase of 478.00%; The production capacity was 0.32gw, with a year-on-year increase of 61.19%; The inventory of photovoltaic power stations was 0.33gw, a year-on-year decrease of 61.99%.
EVA adhesive film and silicon material: the equity of Swick was sold and the silicon material was put into operation.
In 2021, the company’s EVA film achieved an operating revenue of 1.645 billion yuan, a year-on-year increase of – 7.79%; The gross profit margin was 15.98%, a year-on-year decrease of -3.29pct. In August 2021, the company sold part of the equity of Jiangsu Swick, and by the end of 2021, the company held 16.59% of the equity of Swick. In December 2020, the company acquired its wholly-owned subsidiary, concentrating silicon industry. At present, it has an annual polysilicon production capacity of 12000 tons and has been put into operation and released; In April 2021, the company signed a sales contract with Wuxi Shangji Automation Co.Ltd(603185) and agreed to sell 0.65, 1.45, 1.45 and 14500 tons of silicon materials to Wuxi Shangji Automation Co.Ltd(603185) from 2021 to 2024.
Profit forecast and valuation
The layout of photovoltaic modules is the global leader in profits; We expect the net profit attributable to the parent company from 2022 to 2024 to be 1.215 billion yuan, 1.714 billion yuan and 2.212 billion yuan respectively, with corresponding EPS of 1.35, 1.90 and 2.45 yuan / share respectively, and corresponding valuations of 12 times, 9 times and 7 times respectively, maintaining the “buy” rating.
Risk tip: the demand for photovoltaic installation is less than expected, the risk of product price decline and the risk of raw material rise.
