\u3000\u3 Guocheng Mining Co.Ltd(000688) 188 Shanghai Friendess Electronic Technology Corporation Limited(688188) )
Event: the company released the first quarterly report of 2022.
The weak overall demand of the industry superimposed on the impact of the epidemic, and the revenue end of 2022q1 was basically flat
In 2022q1, the company achieved revenue of 191 million yuan, with a year-on-year increase of 1.40%, which is basically in line with our expectations, and the growth of revenue slowed down further. We believe that under the pressure of manufacturing prosperity, the downstream demand of 2022q1 laser industry continues to be weak. Superimposed on the impact of the epidemic in East China in March, the overall demand of 2022q1 market has declined to a certain extent, and the order demand of laser cutting control system has weakened. In terms of products, due to the relatively stable market share of the company’s low-power laser cutting control, under the background of declining industry demand, we judge that the relevant income has declined year-on-year; The high-power control system and intelligent cutting head are in the stage of rapid and large-scale production. The performance of 2022q1 is better than that of medium and low-power cutting system business. In particular, the intelligent cutting head has benefited from the continuous expansion of production capacity. We judge that it has achieved a good growth year-on-year. The short-term epidemic situation will still be an uncertain factor. With the resumption of work in the downstream, the demand of the laser industry is expected to recover. With the rapid increase of the market share of the company’s high-power control system products and the rapid volume of intelligent cutting heads, the company’s revenue end is still expected to achieve steady growth in 2022.
The gross profit margin and investment income decreased, and the net profit margin decreased in 2022q1
In 2022q1, the company realized a net profit attributable to the parent company of 103 million yuan, a year-on-year decrease of 13.20%, and a net profit attributable to the parent company after deducting non profits of 102 million yuan, a year-on-year decrease of 9.88%. The profit side was slightly lower than our expectation. The net profit margin of 2022q1 sales was 55.20%, a year-on-year decrease of -7.89pct, and the profit level decreased to a certain extent. ① In terms of gross profit margin, the overall gross profit margin of 2022q1 company was 78.54%, with a year-on-year increase of -2.24pct. We speculate that it is mainly due to the increase in the proportion of intelligent cutting head revenue with low gross profit margin. ② On the expense side, the expense rate of 2022q1 was 14.52%, with a year-on-year increase of -2.20pct. Among them, the expense rates of sales, management, R & D and finance were + 0.44pct, + 0.67pct, + 1.68pct and -4.98pct respectively year-on-year. It can be seen that the decline of financial expense rate is the main reason for the decline of expense rate during the period. This is mainly due to the fact that the company sold bank financial products in 2021, and the interest income from bank deposits reached 11.43 million yuan, compared with 1.86 million yuan in 2021q1. ③ We note that the other income and investment income of the company in 2022q1 are 6.88 million yuan and – 90000 yuan respectively, and the other income and investment income in 2021q1 are 15.87 million yuan and 5.61 million yuan respectively, which is mainly due to the small value-added tax rebate and investment income of financial products, which is an important reason for the decline of net interest rate in 2022q1.
Fixed increment landing, intelligent cutting head & intelligent welding Siasun Robot&Automation Co.Ltd(300024) opens up the growth space of the company
In April 2022, the company’s fixed increase was implemented, with a total raised capital of 977 million yuan and an issue price of 266.68 yuan / share. It raised funds to invest in intelligent cutting head, welding Siasun Robot&Automation Co.Ltd(300024) and other projects to open up the company’s growth space: ① we expect the scale of China’s intelligent cutting head market to exceed 3 billion yuan in 2025. With the continuous improvement of the production capacity of raised projects, it will continue to contribute to the performance rapidly. ② We expect that the potential market scale of China’s intelligent welding Siasun Robot&Automation Co.Ltd(300024) will exceed 20 billion yuan in 2021; The company has developed the software and hardware prototype of weld tracking sensor, Siasun Robot&Automation Co.Ltd(300024) offline programming software demo and basic Siasun Robot&Automation Co.Ltd(300024) control system, and formed small-scale intention orders with customers, which will completely open the growth space of the company in the future. ③ The ultra-high precision drive control integrated R & D project helps to make up for the vacancy in the company’s relevant technical fields and lay the foundation for the company’s future industrial layout.
Profit forecast and investment rating: Based on the company’s excellent profitability and growth, we maintain the forecast of the company’s net profit attributable to the parent company from 2022 to 2024 as 732 million yuan, 974 million yuan and 1.311 billion yuan respectively, and the corresponding dynamic PE of the current stock price is 34, 25 and 19 times respectively, maintaining the “buy” rating.
Risk tip: declining profitability, less than expected progress in the industrialization of new products, intensified competition, etc.
