\u3000\u3 China Vanke Co.Ltd(000002) 371 Naura Technology Group Co.Ltd(002371) )
Event 1: the company released its 2021 annual report: in 2021, it realized an operating revenue of 9.683 billion yuan, a year-on-year increase of + 59.90%; The net profit attributable to the parent company was 1.077 billion yuan, a year-on-year increase of + 100.66%; Deduct the net profit not attributable to the parent company of 807 million yuan, a year-on-year increase of + 309.45%. The company has previously released a performance express, which is in line with market expectations.
Event 2: the company released the first quarterly report of 2022: the operating revenue of 2022q1 was 2.136 billion yuan, a year-on-year increase of 50.04%; The net profit attributable to the parent company was 206 million yuan, a year-on-year increase of + 183.18%; The net profit deducted from non parent company was 155 million yuan, a year-on-year increase of + 382.23%, which was in the median value of the previous performance forecast, in line with market expectations.
Key investment points
Benefiting from the high prospect of the semiconductor equipment industry chain, the company’s performance continued to grow at a high speed
In 2021, the company achieved a revenue of 9.68 billion yuan, a year-on-year increase of + 60%, and a net profit attributable to the parent company of 1.08 billion yuan, a year-on-year increase of + 101%. In terms of products, the revenue of electronic process equipment and electronic components was 7.95/1.72 billion yuan respectively, with a year-on-year increase of + 63% / 47%. Benefiting from the high prosperity of the downstream and the acceleration of the company’s product expansion, the two main industries have achieved rapid growth. (1) Semiconductor equipment: the new construction and expansion of integrated circuit logic devices, advanced storage, advanced packaging and other production lines promote the rise of demand; (2) LED equipment: driven by the demand of mini led, the industrial investment picks up; (4) Third generation semiconductor: the demand for 5g applications and automotive electronics has driven the rapid growth of investment in the third generation semiconductor production line. Driven by trade friction and lack of core, the localization progress of semiconductor equipment has been accelerated, the market introduction rhythm of new products of the company’s etching machine, PVD, CVD, vertical furnace, cleaning machine, ALD and other equipment has been accelerated, and the product process coverage and customer penetration have been further improved.
Full orders are in hand, laying the foundation for high growth of annual performance
According to the operation announcement disclosed by the company on March 11, from January to February 2022, the company added more than 3 billion yuan of orders, with a year-on-year growth rate of more than 60%. By the end of the first quarter of 2022, the company’s inventory was 9.71 billion yuan, a year-on-year increase of + 63.5% and a month on month increase of + 20.9%; Contract liabilities amounted to RMB 5.09 billion, with a year-on-year increase of + 13.3% and a month on month increase of + 0.9%, all reflecting that the company has full orders on hand.
Profitability remained improved and R & D investment increased
In 2021, the company’s comprehensive gross profit margin was 39.4%, year-on-year + 2.7pct; The net profit margin attributable to the parent company was 11.1%, with a year-on-year increase of + 2.3pct. In terms of products, the gross profit margins of electronic process equipment and electronic components were 33.0% / 68.9% respectively, with a year-on-year increase of + 3.6pct / + 2.8pct. In 2021, the company’s expense rate was 30.5%, with a year-on-year increase of + 0.3pct. Among them, the rates of sales / management / R & D / financial expenses were 5.3% / 12.3% / 13.4% / – 0.5% respectively, with a year-on-year increase of -0.6pct / – 1.7pct / + 2.3pct / + 0.2pct. In 2022q1, the company’s comprehensive gross profit margin was 44.6%, year-on-year + 5.1pct, and the net profit margin attributable to the parent company was 9.7%, year-on-year + 4.6pct, which mainly benefited from the increase in the proportion of high gross profit products and the large-scale effect of new products, and the profitability remained improved.
It is proposed to raise no more than 8.5 billion yuan for the expansion of semiconductor equipment
On April 21, 2021, the company issued a plan for non-public offering of a shares. It plans to raise no more than 8.5 billion yuan and cooperate with its own funds to total 9.62 billion yuan for the expansion of semiconductor equipment, R & D of high-end semiconductor equipment and expansion of high-precision electronic components. The construction period is 24 months. The project can achieve an average annual income of 7.9 billion yuan and a total annual profit of about 940 million yuan. With the company’s mature process equipment breaking through new processes, new process products have successively entered customer verification or mass production, the company’s products have frequently received repeated purchase orders from customers, and the growth of the company’s high gross profit semiconductor equipment and electronic components is expected to accelerate.
Profit forecast and investment rating: we predict that the net profit attributable to the parent company from 2022 to 2024 will be RMB 1.561 (original value 14.14) / 20.51 (original value 18.30) / 3099 billion respectively, and the corresponding PE of the current market value will be 80.73/61.43/40.66 times respectively, maintaining the “buy” rating.
Risk warning: the uncertainty of the impact of the epidemic on the supply chain; Downstream capital expenditure is lower than expected; Equipment R & D and market development were lower than expected.
