\u3000\u3 Guocheng Mining Co.Ltd(000688) 508 Wuxi Chipown Micro-Electronics Limited(688508) )
Core view
1q22 revenue increased by 30% year-on-year, and net profit attributable to parent increased by 14% year-on-year. The 1q22 revenue of the company was 185 million yuan (YoY 30%, QoQ - 15%), the net profit attributable to the parent company was 34 million yuan (YoY 13.75%, QoQ - 53.45%), the net profit not attributable to the parent company was 30 million yuan (YoY 5.30%, QoQ - 27.68%), and the gross profit margin was 41.53%, an increase of 1.01pct year-on-year and a decrease of 1.91pct month on month; The net interest rate was 18.10%, down 2.62pct year-on-year and 15.04pct month on month; The R & D rate was 19.72%, with a year-on-year increase of 4.37 PCT and a month on month decrease of 1.02 PCT; The management rate was 4.28%, with a year-on-year increase of 0.52 PCT and a month on month increase of 1.12 PCT; The sales rate was 1.67%, with a year-on-year increase of 0.48pct and a month on month decrease of 0.21pct. The year-on-year increase in gross profit margin was mainly due to the optimization of product structure, and the year-on-year decrease in net profit margin was mainly due to the increase in various rates, especially R & D rates. Home appliance chips continued to grow, and the revenue of industrial control chips doubled year-on-year. In terms of business, 1q22 home appliance chips achieved a revenue of 855265 million yuan, a year-on-year increase of 37.91%, with a sustained and stable growth, accounting for 46.19% from 45.91% in 2021; The revenue of standard power chips was 55.45 million yuan, a year-on-year decrease of 1.64%, and the proportion decreased from 34.35% in 2021 to 29.94%. Mainly under the condition of continuous shortage of power semiconductor wafer production capacity, the production capacity gave priority to ensuring the supply of industrial control product lines; The revenue of industrial control power chips was 378271 million yuan, with a year-on-year increase of 120.33%, accounting for 20.43% from 15.63% in 2021. The main reason is that the company has launched more new advanced integrated success rate chips for the industrial control market, and continued to increase the volume of power supply and driving chip benchmark customers' products in motor, power and communication. Fixed growth focuses on the industrial and automotive fields and actively increases R & D investment. According to the fixed increase plan released by the company on March 18, it is mainly invested in "R & D and industrialization project of high-voltage power supply and electric drive power chip of new energy vehicles" and "R & D and industrialization project of industrial digital power management chip and supporting power chip".
The company actively reserved talents for these two projects, and the corresponding personnel expenses and direct R & D investment in 1q22 increased. Under this influence, the R & D expenses increased by 66.71% year-on-year. The specific circumstances: (1) due to the implementation of the equity incentive plan, the corresponding share based payment expenses accrued by the company increased by 5124900 yuan year-on-year; (2) With the expansion of the company's scale and personnel, the corresponding salary expenses increased by 5.8932 million yuan year-on-year; (3) The newly approved R & D projects increased, and the direct R & D investment in corresponding materials and processing fees increased by 2.5758 million yuan year-on-year.
Investment suggestion: the company will gradually enter the industrial and automotive fields and maintain the "buy" rating
We expect that the net profit attributable to the parent company from 2022 to 2024 will be 270 / 369 / 474 million yuan (the previous value is 286 / 387 / 500 million yuan), with a year-on-year growth rate of 34 / 37 / 29%; EPS is 2.39/3.26/4.19 yuan, and the PE corresponding to the share price on April 27, 2022 is 30 / 22 / 17x respectively. The company established a new growth point for the future and maintained the "buy" rating through fixed growth in the industrial and automotive fields.
Risk warning: the research and development of new products is not as expected; Customer verification is not as expected; The demand is less than expected.
