\u3000\u3 Guocheng Mining Co.Ltd(000688) 208 Autel Intelligent Technology Corp.Ltd(688208) )
Core view
In 2021, the annual revenue achieved rapid growth and the gross profit margin remained at a high level. The company's annual operating revenue was 2.253 billion yuan, a year-on-year increase of + 42.84%; The net profit attributable to the parent company was 439 million yuan, a year-on-year increase of + 1.31%. From the expense side, the company's sales expense ratio in 2021 was 10.54%, down 1.6pct from 20 years, mainly benefiting from the expansion of revenue scale; The management fee rate was 10.76%, which was mainly affected by the equity incentive fee of 83.57 million yuan in the whole year; The R & D expense rate was 21.43%, an increase of 4.2pct over 20 years, mainly due to the company's expansion of new energy charging pile product line and new energy maintenance and software cloud service business. Excluding uncontrollable factors such as the appreciation of RMB, the rise of international freight and spot costs, the net profit attributable to the parent company in 2021 increased by 54.19% year-on-year. The gross profit margin of the company in 2021 was 57.65%, which remained at a high level.
In the first quarter, the business was under pressure due to multiple factors, and the level of follow-up expense rate is expected to improve. The company achieved a revenue of 513 million yuan in the first quarter, a year-on-year increase of + 13.16%; The net profit attributable to the parent company was 63.3 million, a year-on-year increase of - 42.48%; The net profit deducted from non parent company was 46.74 million, a year-on-year increase of - 47.37%. The gross profit margin was 58.94%, maintaining a relatively stable level. In the first quarter, the company generated R & D expenses of 114 million yuan, a year-on-year increase of + 13.51% and a month on month increase of - 20.34%. With the release of the company's new energy products, R & D expenses are expected to further shrink and improve; The sales cost was 69.98 million yuan, a year-on-year increase of + 24.32%, mainly due to the company's increased investment in the construction of overseas new energy product teams and channels. It is expected that in the second half of the year, with the continuous release of new energy products, the income scale is expected to increase, resulting in the improvement of cost rate. In terms of sub regions, the company achieved revenue of 225 million yuan in North America in the first quarter, a year-on-year increase of + 4.87%; Europe achieved an income of 86.29 million yuan, a year-on-year increase of + 23.21%; China and other regions achieved revenue of 200 million yuan, a year-on-year increase of + 24.31%. The factors affecting the company's business in the first quarter mainly included the limited supply of some products caused by the Shenzhen epidemic and the phased slowdown of demand in North America.
Continued investment in the layout of new energy products is expected to open the second growth curve. The company officially released a full range of new energy charging piles and new energy diagnosis series at the end of September 2021. New energy diagnostic products can support the original factory level intelligent maintenance process of more than 10 mainstream new energy brands, cover 90% of mainstream new energy models, support more than 40 kinds of battery special inspection, and have rapid battery charging and discharging inspection technology to improve 60% maintenance efficiency. Since the company started selling its exchange pile products at the end of 2021, it has successively received orders from Britain, Singapore, France, the Netherlands, Germany, Spain, Portugal and other countries and gradually delivered them, which is expected to open the second growth curve.
Risk tip: the sales progress of new energy in Europe and America is lower than expected; The risk of deterioration of the international trade environment.
Investment suggestion: taking into account rising prices, R & D investment and other factors, we lowered our profit forecast and maintained the "buy" rating. It is estimated that the net profit attributable to the parent company from 2021 to 2023 will be RMB 494 / 737 / 935 million, with a year-on-year growth rate of 12.5% / 49.4% / 26.8%; Diluted EPS = 1.09/1.64/2.07 yuan, calculated according to the closing price on April 28, corresponding PE = 25 / 17 / 13X.
