\u3000\u3 Guocheng Mining Co.Ltd(000688) 499 Guangdong Lyric Robot Automation Co.Ltd(688499) )
Event:
Release the first quarterly report of 2022: during this period, the operating revenue was 800 million yuan, with a year-on-year increase of 54%; The net profit attributable to the parent company was 79 million yuan, a year-on-year increase of 77%; The net profit attributable to the parent company after deduction was 72 million yuan, an increase of 61% year-on-year.
The performance of the first quarter report in 2022 is in line with expectations: product categories are extended, and the customer base is further deepened and expanded
Benefiting from the order delivery of power lithium battery, the company’s revenue and profit increased by 54% and 77% year-on-year respectively in the first quarter of 2022. The gross profit margin of the company in the first quarter was 35.8%, basically the same as that in the same period of the whole year. In the first quarter, the company’s sales / management / R & D expense ratio was 5.3% / 11.6% / 11.1% respectively, with a year-on-year change of 1.1pct / – 0.6pct/0.6pct. Product category extension: lithium battery equipment extends from the middle and rear section to the front section, and equipment gradually extends from the field of lithium battery to the fields of energy storage, hydrogen energy and photovoltaic; In terms of customers, the company maintained long-term and stable cooperation with new energy technology, Contemporary Amperex Technology Co.Limited(300750) , Byd Company Limited(002594) , honeycomb energy, Gotion High-Tech Co.Ltd(002074) , Sunwoda Electronic Co.Ltd(300207) , and further deepened and expanded its customer base.
In 2021, the amount of newly signed equipment orders reached 7 billion yuan; It is planned to issue 950 million yuan of convertible bonds to expand production
At the end of the first quarter of 2022, the company’s contract liabilities were 1.66 billion yuan, an increase of 22% month on month (an increase of 300 million yuan), a significant increase of 96% year-on-year, indicating that the company’s newly signed orders increased rapidly in the first quarter. In 2021, the total contract orders and bid winning notices obtained by the company amounted to 7.042 billion yuan (including tax). According to the previous announcement, in 2021, the company obtained orders for power lithium battery equipment and notification of award amounting to 5 billion yuan, accounting for more than 70% of the total order amount. The company plans to invest 1.15 billion yuan to expand the production capacity of the whole line of special aircraft and lithium battery equipment in the front and middle section, of which 700 million yuan is invested with raised funds. The construction period of the project is two years. The company is expected to have an annual income of 2.758 billion yuan after reaching the production capacity.
After issuing the equity incentive plan, the company expects that the compound growth rate of net profit in the next three years is expected to reach 79%
The incentive plan is unlocked in three years, and the ownership proportion is 30% / 30% / 40% respectively. Assuming that the two performance unlocking conditions in each unlocking period are met at the same time, the corresponding company’s revenue from 2021 to 2023 is RMB 2.2/34/5.2 billion respectively; The corresponding net profit attributable to the parent company from 2021 to 2023 is RMB 220 million, RMB 425 million and RMB 805 million respectively.
Strong R & D capability, significant advantages in large-scale delivery and effective global layout
1) in 2021, the company’s R & D expenditure was RMB 273 million, with a year-on-year increase of 66%. The “lithium battery laser welding technology” was identified as “international advanced level”. 2) The company has greatly improved its delivery capacity by expanding plant area and recruitment. In 2021, the company continued to add new rental sites and new assembly workshops, and the total number of employees reached 6496 at the end of the year, with a year-on-year increase of 42%. 3) Successfully signed lithium battery equipment orders with customers in North America, Germany and South Korea, established a branch in Shanghai and responded to each other with its German subsidiary.
Profit forecast and investment suggestions
It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be 504 / 727 / 881 million yuan respectively, with a compound growth rate of 61%, corresponding to 25 / 17 / 14 times of PE respectively, maintaining the “buy” rating.
Risk tips
The sales volume of new energy vehicles is lower than expected; The income of a single major customer accounts for a relatively high risk.
