\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 929 Snowsky Salt Industry Group Co.Ltd(600929) )
Event: the company released the 21st Annual Report and the first quarterly report of 22 years, and achieved a revenue of 4.78 billion yuan in 2021, a year-on-year increase of + 35.19%; The net profit attributable to the parent company was 402 million yuan, a year-on-year increase of + 109.29%. 22q1 company achieved a revenue of 1.494 billion yuan, a year-on-year increase of + 61.96%; The net profit attributable to the parent company was 142 million yuan, a year-on-year increase of + 151.68%.
The boom in demand and the rise in both volume and price have pushed the income side to achieve high growth. Benefiting from the booming demand of the industry, the volume and price of the company's main products have risen simultaneously, and the structure of small packaged edible salt has been optimized under the nationalization and high-end. In terms of products in the whole year, the revenue of all kinds of salt / mirabilite / caustic soda / soda / ammonium chloride / other products was + 19.85% / + 22.77% / + 118.56% / + 48.04% / + 62.90% / + 12.76% year-on-year. Edible salt business: medium and high-end high growth, optimized structure, and remarkable achievements in construction outside the province. Sales volume / revenue of large bags of salt in 21 years + 1.10% / + 18.56% year-on-year; The sales volume / revenue of small bags of salt increased by + 14.81% / + 21.48% year-on-year, and the sales volume and price increased significantly. In 2001, the high-end series loose 997 was launched, and the sales volume of medium and high-end salt was 57000 tons, with a year-on-year increase of + 54.1%. The product sales structure and price system were continuously optimized. Meanwhile, the sales volume of small package salt in the market outside Hunan Province reached 201300 tons, with a year-on-year increase of + 80.86%. The construction outside Hunan Province has achieved remarkable results. Salt chemical business: the overall benefit is the improvement of the relationship between supply and demand, and the integration of Hunan and Chongqing salt chemical industry has achieved high growth. Affected by the epidemic in the past 20 years, the overall downstream operation was insufficient, the volume and price base was low, and the relationship between supply and demand in the industry improved in the past 21 years. The company's caustic soda sales / revenue were + 62.72% / + 118.56% year-on-year respectively, the sales of soda ash and ammonium chloride were flat year-on-year, and the operating revenue was + 48.04% / + 62.90% respectively. In 21 years, the company completed the injection of Hunan Chongqing salinization. Affected by favorable factors such as the improvement of the prosperity of the downstream photovoltaic and glass industry, the price of soda ash increased significantly. The operating revenue of Hunan Chongqing salinization was + 47.91% and the net profit was + 64.96% year-on-year.
The rise in energy prices has led to pressure on the cost side, and the merger of Hunan and Chongqing salinization has brought incremental profits. The company achieved a gross profit margin of 29.85% in 21 years, with a year-on-year increase of -1.66pcts; The net interest rate was 9.23%, with a year-on-year increase of + 2.01pcts; The ratio of sales / management / R & D expenses was 7.16% / 6.99% / 3.93% respectively, with a year-on-year increase of -1.86 / -0.36 / + 0.00pct. The price of coal and raw and auxiliary materials rose in 21 years, and the cost side was under pressure. However, due to the improvement of the downstream supply-demand relationship, the price of the company's main products rose, and the acquisition and merger of Hunan Chongqing salt chemical, the high price of soda ash brought obvious profit increment. The company achieved a gross profit margin of 30.47% in 22q1, a year-on-year increase of -2.71pcts; The net interest rate was 10.46%, with a year-on-year increase of + 1.26pcts. The company's 22q1 profit growth was mainly due to the booming production and marketing, the simultaneous increase of the volume and price of main products, the decline of costs and the year-on-year improvement of profitability.
The company's Edible Salt + salt chemical two wheel drive, with a long-term business layout. On the one hand, the company's high-end upgrade of edible salt + the rapid growth of sales outside the province have opened up space, loose 997 has made efforts to build high-end, large supermarkets have settled in and expanded nationwide, and at the same time, the company has made efforts to extend composite condiments downstream; On the other hand, the company's salt chemical industry has expanded its business areas and coordinated development through acquisition. At present, there are restrictions on the production expansion of soda ash supply end, and there is still a gap in the demand for new energy in the downstream. We predict that the price of soda ash may remain high in 22 years, the price of caustic soda and ammonium chloride may remain high, and the growth trend of the company is stable.
Profit forecast: the company's acquisition of Xiangyu Salt Chemical Co., Ltd. has been completed and incorporated into the listed company. It is expected that the revenue will increase from 2.997/3.615 billion yuan to 5.686/6.661 billion yuan from 2022 to 2023, with a year-on-year growth rate of 18.95% / 17.14%. The net profit increased from 178 / 209 million yuan to 503 / 614 million yuan, with a year-on-year growth rate of 25.23% / 22.01% and EPS of 0.37/0.45 yuan / share. Maintain the company's "buy" rating.
Risk tips: macroeconomic cycle, changes in main energy prices and business expansion are not as expected
