\u3000\u30 Fawer Automotive Parts Limited Company(000030) 26 Zhejiang Mtcn Technology Co.Ltd(003026) )
Core view
In 2021, the net profit attributable to the parent company increased by 51%, and 1q22 revenue decreased by 23% month on month. The company's 21-year revenue was 437 million yuan (YoY 60%), the net profit attributable to the parent was 131 million yuan (YoY 51%), and the net profit not attributable to the parent was 127 million yuan (YoY 53%). In 21 years, the gross profit margin decreased by 1.65 PCT to 46.77%, and the net profit margin decreased by 0.11 PCT to 31.67%. 1q22 has a revenue of 96 million yuan (YoY 13%, QoQ - 23%), a net profit attributable to the parent company of 20 million yuan (yoy-42%, QoQ 15%), and a gross profit margin of 43.68%, a year-on-year decrease of 6.85pct and a month on month increase of 10.04pct; The net profit margin was 25.28%, a year-on-year decrease of 16.13pct and a month on month increase of 7.41pct. The decline in gross profit margin of 4q21 and 1q22 was mainly due to the rise in the price of upstream polysilicon raw materials, and the decline in revenue was mainly due to the weakening of downstream demand and customers' de inventory. With the end of the de inventory cycle, the company's revenue is expected to resume growth.
Complete the layout from silicon rod to silicon wafer to power devices, with obvious Industrial Synergy advantages. The company has completed the three business layouts of semiconductor silicon rod, semiconductor silicon wafer, semiconductor power chip and device, forming the integration of industrial chain. Silicon wafer includes grinding wafer, chemical corrosion wafer and polishing wafer, which is mainly used in the manufacturing of power semiconductor devices such as all kinds of power diodes, power transistors, high-power rectifiers, thyristors, overvoltage / overcurrent protection devices, as well as some sensors and optoelectronic devices; Power chips and devices are widely used in microwave ovens, laser printers, copiers, CRT / TV displays, X-ray machines and large-scale medical equipment. In 2021, the company's silicon wafer revenue was 282 million yuan (YoY 48%), accounting for 64%, and the gross profit margin was 48% (+ 0.5pct); The revenue of silicon rod is 85 million yuan (YoY 7%), accounting for 19%, and the gross profit margin is 43% (- 8.2pct); The revenue of power chips and devices is 62 million yuan, accounting for 14% and the gross profit margin is 38%.
The raised investment project will expand large-size silicon wafers, build new plants and expand the capacity of power devices. While consolidating the market position of small-size silicon wafers, the company has steadily expanded the market of large-size silicon wafers. The fund-raising and investment projects are accelerating. By the end of 21, 48% of the funds raised have been invested to complete the plant civil engineering, process pipeline and clean plant installation, high distribution and sewage treatment project construction, water and electricity public power system, environmental protection treatment system, equipment installation and process commissioning. Jiangsu Gaoxin, invested and established, has undertaken the original assets and business of Nantong Gaoxin, producing semiconductor power chips and devices. It has a complete set of manufacturing technology and production line of plastic encapsulated high-frequency and high-voltage diodes at the international advanced level. It has a leading position in the market segment. It plans to further enrich the company's product types and create new profit growth points by building new factories and expanding production capacity. As of March 31, the company's fixed assets and construction in progress were RMB 287 million and 154 million respectively, with a year-on-year increase of 112% and 710%.
Investment: maintain the "buy" rating of the project
We estimate that the net profit attributable to the parent company from 2022 to 2024 will be 170 / 220 / 291 million yuan (210 / 297 million yuan before 20222023), with a year-on-year growth rate of 30 / 29 / 32%; EPS is 1.71/2.21/2.92 yuan, and the PE corresponding to the share price on April 25, 2022 is 27 / 21 / 16x respectively. The company's large-size semiconductor silicon wafer raising and investment project is progressing smoothly and maintains the "buy" rating.
Risk warning: the progress of raised investment projects is less than expected, the demand is less than expected, and the risk of intensified competition.
