\u3000\u3 Shengda Resources Co.Ltd(000603) 305 Ningbo Xusheng Auto Technology Co.Ltd(603305) )
The company released the first quarterly report of 2022: the revenue in the first quarter was 992 million yuan, a year-on-year increase of + 96.34%; The net profit attributable to the parent company was 120 million yuan, a year-on-year increase of + 33.71%; The net profit deducted from non parent company was 109 million yuan, a year-on-year increase of + 34.56%.
The gross profit margin is under pressure and the expense rate is reduced
The gross profit margin of the company in the first quarter was 20.28%, with a year-on-year increase of -8.94pct and a month on month increase of + 1.98pct. The price rise of the main raw material aluminum alloy and the increase of sea freight affect the gross profit margin. The sales expense rate of the company in the first quarter was 0.50%, with a year-on-year ratio of -0.31pct and a month on month ratio of -0.37pct. The management expense ratio was 1.50%, with a year-on-year ratio of -1.76pct and a month on month ratio of -0.58pct. The R & D expense ratio was 3.81%, with a year-on-year ratio of -0.45pct and a month on month ratio of + 0.02pct. The financial expense ratio was 1.95%, with a year-on-year increase of + 1.87pct and a month on month increase of + 0.21pct, mainly due to the increase of interest expense of convertible bonds in the current period.
The category expansion is smooth, and the customer structure is gradually diversified
The aluminum die casting sector of the company benefited from the continuous large volume of orders on hand, and the new projects of Great Wall DHT dual motor, Mercedes Benz motor housing, lucid power system, body system, battery system and other components were successfully mass produced. The market development situation of aluminum forging products is gratifying, and several projects such as steering knuckle of new energy vehicles and valve sector of thermal management system have been added for fixed-point or mass production. The market development of aluminum extrusion products is increasing. In addition to adding a number of fixed points of battery pack shell parts projects, the projects under research include anti-collision beam, threshold beam, subframe, battery pack box and other products, which are expected to become a new growth point of the company in the future. The company’s customer structure has gradually diversified, and the proportion of revenue from a single customer has gradually decreased. In addition to Tesla, Polaris, ZF, Great Wall Motor Company Limited(601633) , Contemporary Amperex Technology Co.Limited(300750) and others have become one of the company’s important customers, further consolidating the company’s competitive position and customer resource advantages.
Investment suggestions:
We expect that the company’s EPS from 2022 to 2024 will be 0.97 yuan, 1.32 yuan and 1.79 yuan respectively, and the corresponding PE will be 20.2 times, 14.8 times and 10.9 times respectively, maintaining the “overweight” rating.
Risk warning: the risk that the price of raw materials will continue to rise; Risk of high customer concentration.
