\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 529 Shandong Pharmaceutical Glass Co.Ltd(600529) )
The annual net profit of 20238508% was attributable to the parent company (+ 1.391 billion yuan in 2023), and the annual net profit of 2023508% was attributable to the parent company (+ 1.391 billion yuan in 2023); In the fourth quarter, the income was 1.070 billion yuan (- 4.07%), the net profit attributable to the parent was 121 million yuan (- 19.11%), and the net profit not attributable to the parent was 119 million yuan (- 20.97%). The company plans to distribute cash of 3.00 yuan (including tax) for every 10 shares.
In the first quarter of 2022, the company realized a revenue of 1.042 billion yuan (+ 12.53%), a net profit attributable to the parent company of 153 million yuan (- 1.93%), deducting a net profit not attributable to the parent company of 152 million yuan (- 2.72%). The performance was slightly lower than expected.
The sales volume of CBSI products has increased greatly, and the performance is expected after the price increase. In terms of the annual split, the revenue of molded bottles was 1.526 billion yuan (+ 9.06%), and the sales volume was 313200 tons (+ 7.38%), of which the sales volume of medium borosilicate molded bottles was nearly doubled, which is expected to be about 400 million. In the future, the company is expected to obtain rich orders in the process of injection consistency evaluation by virtue of its superior performance and price advantage over controlled bottles of the same material.
The revenue of brown bottles was 798 million yuan (+ 5.66%), the sales volume was 218900 tons (+ 3.42%), and the unit price picked up. The annual sales volume reached 3 billion, with a year-on-year increase of 13%. The revenue of butyl rubber stopper was 234 million yuan (+ 8.87%), the sales volume exceeded 5 billion pieces, and the average price increased slightly. The revenue of controlled bottles was 195 million yuan (+ 11.75%), the sales volume was 1.656 billion pieces (+ 5.55%), and the average price also increased, including 188 million pieces (+ 235%) of medium borosilicate tube bottles; The revenue of ampoules was 48 million yuan (+ 6.30%), and the sales volume was 1.761 billion pieces (+ 2.55%), of which the sales volume of medium borosilicate ampoules was 55 million pieces (+ 150%). The quality and finished product rate of the company’s neutral borosilicate glass tubes have gradually stabilized, and have been used in the production of first-class water-resistant tube glass bottles since 2021, so as to reduce the cost of the company’s tube products and stabilize the supply of glass tubes.
The revenue of plastic bottles with aluminum plastic caps was 52 million yuan (+ 6.15%), the sales volume was 870 million pieces (+ 19.68%), and the average price decreased. Other business income was 1.022 billion yuan (+ 29.58%), of which nearly 50 million pieces of pre potting were sold (+ 145%). The development of covid-19 vaccine has led to a rapid growth in the demand of China’s pre encapsulation market. At present, the company has reached a number of vaccine packaging cooperation with China biopharmaceutical group, Kexing Zhongwei, Cansino Biologics Inc(688185) and other enterprises, which is expected to fully release the pre encapsulation capacity in the future.
In order to cope with the cost pressure caused by the rising price of bulk materials, the company raised the product price in the fourth quarter of 2021. According to the performance of 22q1, the company’s short-term revenue is expected to maintain a stable growth.
The rise of raw material prices affects the gross profit margin, and the cost rate is well controlled during the period. In the whole year of 21, the gross profit margin of the company was 29.62% (- 3.94pct). In terms of splitting, the gross profit margins of various businesses were: 40.40% (- 4.48pct) for molded bottles, 25.76% (- 7.17pct) for brown bottles, 27.72% (- 2.79%) for butyl rubber plugs, 13.15% (+ 1.99pct) for control bottles, 2.05% (+ 0.14pct) for ampoules and 31.18% (+ 4.24pct) for plastic bottles with aluminum plastic caps. The decline in the gross profit margin of core businesses was mainly affected by the price of raw materials, Among them, the prices of coal and soda ash rose sharply due to tight supply, and the average price of quartz sand continued to rise; The average price of butyl rubber has been affected by the high price of crude oil. 22q1 thanks to the price increase, the company’s gross profit margin increased by 1.66pct to 29.21%.
During the 21-year period, the total expense rate was 10.31% (- 1.93pct), of which the sales / management / R & D / financial expense rate decreased by 0.41/0.91/0.41/0.20pct respectively, mainly due to the expansion effect of income scale and the decrease of travel and repair expenses; During 22q1, the expense rate increased by 1.01pct to 9.20% year-on-year, mainly due to the year-on-year increase of 1.26pct in the sales expense rate, and it is expected that the freight and travel expenses will increase more. Affected by the cost, the net interest rate of the company in 21 years was 15.25%, down 1.22pct year-on-year; 22q1 net interest rate was 14.70% (-2.17pct), mainly due to the increase of accounts receivable and the increase of impairment loss of accounts receivable assets.
Maintain the “buy” rating. The company is the leader of pharmaceutical glass in China. The production capacity of class I molded bottles is expected to be further expanded. Under the condition of strong demand for consistency evaluation, the sales volume is expected to maintain a stable upward trend; Pre encapsulation is also expected to benefit from the demand for vaccine orders. At present, the company is expanding its original production capacity; The market competitiveness of brown bottle and butyl rubber stopper business is also strong. It is estimated that the net profit attributable to the parent company in 21-23 years will be 804 / 999 / 1121 million yuan respectively, and the corresponding PE will be 14 / 11 / 10 times respectively, maintaining the “buy” rating.
Risk warning: the product order quantity is less than expected; The progress of capacity expansion is less than expected; The pressure of product price reduction is greater than expected.
