\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 208 Sichuan Em Technology Co.Ltd(601208) )
Events
On April 29, the company released the first quarterly report of 2022. The company achieved an operating revenue of 904 million yuan, a year-on-year increase of + 21.15%, and a net profit attributable to the parent company of 102 million yuan, a year-on-year increase of + 19.77%. Under the condition of high raw material prices, the company's performance increased year-on-year, exceeding market expectations.
Business analysis
Under certain pressure on raw materials, the company's businesses still increased year-on-year. In the first quarter of 2022, the company's insulating material business realized an operating revenue of 437 million yuan (year-on-year + 26.01%); The business of optical film materials achieved an operating revenue of RMB 271 million (year-on-year + 3.83%); Electronic materials achieved an operating revenue of 161 million yuan (year-on-year + 82.31%); Environmental friendly flame retardant materials achieved an operating revenue of 25.25 million yuan (year-on-year - 10.47%). In terms of raw materials, the price of polypropylene resin of the company was 12200 yuan / ton, a year-on-year increase of + 20.73%; Polyester chip 7213 yuan / ton, year-on-year + 49.01%; PTA price is 4962 yuan / ton, a year-on-year increase of + 50.26%; The price of ethylene glycol was 4581 yuan / ton, a year-on-year increase of + 17.81%.
The production capacity of optical base film and electronic resin has been expanded, and the variety structure has been continuously optimized. In terms of optical base film, Jiangsu Dongcai line 3 has successfully reached production capacity, with a current production capacity of about 100000 tons. Through its wholly-owned subsidiaries, Jiangsu Dongcai and Dongcai film materials have invested in the construction of "high performance polyester base film project with an annual output of 20000 tons for MLCC and PCB" and "optical grade polyester base film project with an annual output of 20000 tons for new display technology", which are mainly aimed at manufacturing MLCC release film base film, high-end anti-corrosion dry film base film, polarizer release film base film and other products, Improve the company's comprehensive supporting capacity in medium and high-end fields. In terms of electronic resin, the company's 5200 tons of high-frequency high-speed resin and 60000 tons of epoxy resin projects will gradually reach production in 2022. In addition, the company's Dongrun project plans to produce 160000 tons of high-performance phenolic resin and formaldehyde per year, which are mainly used in the fields of electronic packaging, high-end composites and adhesives. With the large volume of the above projects, the company's electronic resin business will continue to grow.
Profit forecast and investment suggestions
Considering that Jiangsu Dongcai line 3 has reached the production capacity and the electronic resin has gradually reached the production capacity, we revised the net profit attributable to the parent company in 20222024 to be 589 (+ 13.48%), 7.45 (+ 0.94%) and 922 (+ 2.67%) million yuan respectively; EPS is 0.66, 0.83 and 1.03 yuan respectively, and the corresponding PE is 16.66x, 13.16x and 10.64x respectively. Maintain the "buy" rating.
Risk tips
The construction of electronic resin production capacity is less than expected; The rhythm of electronic resin volume is less than expected; The demand for optical film is less than expected; The product competition pattern has deteriorated.
