\u3000\u3 Shengda Resources Co.Ltd(000603) 290 Starpower Semiconductor Ltd(603290) )
Event overview:
The company released the 22q1 quarterly report: the revenue was 540 million yuan, yoy + 67%, QoQ + 6%, the net profit attributable to the parent was 150 million yuan, yoy + 102%, QoQ + 15%, and the net profit not attributable to the parent was 140 million yuan, yoy + 123%, QoQ + 14%. In terms of profit margin, the gross profit margin of Q1 is 40.81%, yoy + 6.6pct and QoQ are the same, and the net profit margin is 28.00%, yoy + 4.8pct and QoQ + 2.2pct.
22q1 company’s performance increased rapidly and its business boom remained high
1) the company is in a high-speed growth channel: 20q4-21q4. The quarter on quarter growth rate of the company’s revenue is 17%, 10%, 21%, 21% and 7% respectively. In 22q1, the company’s revenue increased by 6% month on month, still maintaining the same growth intensity as 21q4. 2) Continuous improvement of profitability: from 21q1 to 22q1, the gross profit margin of the company in each quarter was 34.2% / 34.6% / 35.8% / 40.8% / 40.8%, which increased quarter by quarter as a whole. This is due to the upgrading of the company’s product structure – in 2021, the proportion of the company’s industrial control & Power revenue decreased from 74% in 20 years to 63%, while that of new energy increased from 22% to 34%, and in the same field, the company tilted more production capacity to high-end and high gross profit products based on the high prosperity of the industry, driving the improvement of profitability. 3) The momentum of downstream goods pulling was strong, and the company’s inventory remained low: as of the end of 22q1, the company’s inventory was 420 million yuan, an increase of only 20 million yuan compared with the end of 21. From the perspective of the proportion of inventory in assets, the proportions of 21q1-22q1 are 18.6% / 18.5% / 18.2% / 7.2% / 7.3% respectively, which is still low. Combined with the trend of the company’s revenue and net profit increasing quarter by quarter in the past four quarters, the low inventory level can reflect the strong momentum of the company’s downstream goods pulling and the business boom is still high.
A large number of photovoltaic products are installed, and the volume of vehicle regulated products is accelerated in 22 years
Photovoltaic: 650V / 1200vigbt modules and devices of the company are installed in large quantities at photovoltaic customers. The company has become an important supplier of many leading photovoltaic and wind power inverters. New energy vehicles: 1) in the past 21 years, the company’s vehicle specification level IGBT for main drive has continued to be used in large quantities, supporting more than Shanghai Pudong Development Bank Co.Ltd(600000) vehicles, including more than 150000 vehicles for class A and above models; 2) The category of “boarding” continues to expand, the company’s share in automotive air conditioning and charging pile semiconductor devices has further increased, and the vehicle specification sgtmosfet has begun to supply in small quantities. Third generation semiconductor: Several 800V project fixed points of sicmosfet modules have been added. As of September 8, 2021, sicmosfet orders on hand have reached 340 million yuan, and the delivery time is 22-23 years. In addition, the company’s SiC module has been further promoted and applied in locomotive traction auxiliary power supply and photovoltaic industry.
The self built production line project has been steadily promoted
The company’s 21m3 announced a 3.5 billion fixed increase project plan: 1) 1.5 billion yuan was used for the industrialization of high-voltage chips – the investment progress was 5.6% by the end of 21; 2) 500 million yuan was used for SiC chip industrialization – by the end of 21, the input was 3.4%; 3) 700 million yuan was used for the automation transformation of power module – the investment progress was 8.6% by the end of 21; 4) Supplementary working capital of 800 million yuan. After the project is completed, it is expected to have an annual production capacity of 3 Shenzhen Zhenye(Group)Co.Ltd(000006) -inch high-voltage power wafers, 60000 SiC wafers and 4 million power modules. This makes: 1) the company has the supply capacity of 3300v and above IGBT modules, which can further expand the scope of shipment to existing customers such as Shenzhen Inovance Technology Co.Ltd(300124) , Shenzhen Invt Electric Co.Ltd(002334) , Siemens; 2) The company will have its own vehicle specification sicmosfet chip, so as to improve the capacity guarantee ability of vehicle specification SiC module. By the end of Q1, the company’s fixed assets had reached 410 million yuan, an increase of 30 million yuan over the end of 21, and the projects under construction had reached 260 million yuan, an increase of 60 million yuan over the end of 21, which means that various projects of the company are steadily advancing.
Investment advice
We maintain the forecast of the company’s net profit attributable to the parent company of RMB 6.1/8.7/1.17 billion in 2022 / 23 / 24, which corresponds to 93 / 65 / 48 times of PE. In view of the company’s leading position in the field of new energy IGBT, the company is expected to fully benefit from the acceleration of domestic substitution. Maintain the “buy” rating.
Risk tips
The industry boom is less than expected, the R & D progress is less than expected, and the information and data used in the research report are not updated in time.
