\u3000\u30003 Tunghsu Optoelectronic Technology Co.Ltd(000413) 00041)
Non deduction performance in the first quarter increased by 24.12% year-on-year. In the first quarter of 2022, the operating revenue was 964 million yuan, a year-on-year increase of 33.06%; The non net profit deducted was 86 million yuan, a year-on-year increase of 24.12%. In the first quarter, the revenue of photovoltaic new energy increased by about 64% year-on-year; The revenue of electronic and electrical appliances increased by about 44% year-on-year; The new energy vehicle and power battery business exceeded the sales target around Contemporary Amperex Technology Co.Limited(300750) , Byd Company Limited(002594) , Eve Energy Co.Ltd(300014) and other key customers.
With the help of silica gel + backboard combination fist, the market share ranks in the forefront. The sales revenue of photovoltaic silica gel in 21 years increased by 68.46% year-on-year Ja Solar Technology Co.Ltd(002459) , Trina Solar Co.Ltd(688599) , Jingke energy and other leading customers increased steadily Cecep Solar Energy Co.Ltd(000591) battery back film sales revenue increased by 37.31% year-on-year, and the supply of new customers such as Atlas and Tangshan Haitai increased rapidly;
5g communication and photovoltaic inverter have broken through the increment of many head customers, and the company has cooperated with Huawei to upgrade. The operating revenue of electronic appliances in the past 21 years increased by 42.84% year-on-year. A number of new projects and products were imported and supplied, the three proofing paint products were steadily increased, officially supplied to ZTE, and started testing with Xiaomi, Wentai and other cooperative products; The sales volume of smart home appliance business increased by more than 50% year-on-year, and Haier, Gree, Gaobiao, Midea and other customers began to increase.
Focus on new energy vehicles and new forces in vehicle manufacturing. The cooperation with Contemporary Amperex Technology Co.Limited(300750) has been steadily promoted, new products have been introduced and supplied, the thermal conductive structural adhesive has successfully won the bid for Byd Company Limited(002594) lithium battery project, and the exclusive supply of structural adhesive and thermal conductive adhesive with Eve Energy Co.Ltd(300014) has been maintained, and the sales volume has increased steadily. Focus on the breakthrough of benchmark customers such as Weilai, Xiaopeng and ideal, and realize the project winning or project approval.
Administrative expenses and R & D expenses increased. The year-on-year increase of 25.57% in management expenses in 21 years is due to the amortization of wages and employee stock ownership plans; R & D expenses increased by 35.09% year-on-year, which was due to the increase of R & D investment, direct material investment and wages in 21 years.
A total of 23.08 million shares were repurchased in the two phases. In September 2020, the company’s phase II employee stock ownership plan used 8.7 million shares that have been repurchased and are intended to be used for equity incentive or employee stock ownership plan. As of the first quarter of 2022, the remaining repurchased shares in the company’s special repurchase account were 14.37 million shares (accounting for 3.34% of the total share capital).
Profit forecast and investment rating: affected by the sharp rise in the price of silicone polymers, the company’s performance is lower than expected. We lowered our profit forecast for the company. We estimate that the net profit attributable to the parent company in Hubei Huitian New Materials Co.Ltd(300041) 22-24 years will be 262 (down 25.54%), 3.34 (down 25.38%) and 427 (newly introduced) million yuan respectively, corresponding to EPS of 0.61, 0.78 and 0.99 yuan respectively. The company is the leader in China’s engineering adhesive industry and is given a certain valuation premium. We valued Hubei Huitian New Materials Co.Ltd(300041) 26 times PE in 2022, lowered the target price by 35.71% to 15.82 yuan (the target price in the previous period was 24.60 yuan, based on 30 times PE in 2022), and maintained the investment rating of “better than the big market”.
Risk tips: macroeconomic fluctuations and cyclical changes in downstream industries; Price fluctuation risk of raw materials; Market competition risk; Financial risks; Project investment risk.
