\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 567 Ningbo Sanxing Medical Electric Co.Ltd(601567) )
On April 25, 2022, the company released the annual report of 2021 and the first quarterly report of 2022. In 2021, the operating revenue was 7.023 billion yuan, a year-on-year decrease of 0.98%, the net profit attributable to the parent was 690 million yuan, a year-on-year decrease of 27.83%, and the net profit not attributable to the parent was 519 million yuan, a year-on-year decrease of 25.86%.
In the single quarter of Q1 in 2022, the operating revenue was 1.982 billion yuan, a year-on-year increase of 42.77%, and the net profit attributable to the parent was 164 million yuan, a year-on-year decrease of 3.23%, deducting 202 million yuan of non attributable net profit, a year-on-year increase of 40.63%.
In 2021, the power business was under short-term pressure, and the business trend was good in 2022q1.
In 2021, the revenue of intelligent power distribution business was 5.383 billion yuan, with a year-on-year increase of 1.39% and a gross profit margin of 24.06% (a decrease of 5.28 percentage points), mainly due to the tight supply of chips, bulk and other raw materials and rising prices in 2021. In 2021, the revenue of the medical service sector was 1.370 billion yuan, a year-on-year decrease of 0.93%, and the gross profit margin was 20.74%, of which the profit of Ningbo Mingzhou hospital was about 866198 million yuan, the non net profit of Hangzhou Mingzhou Kangfu was 387595 million yuan, and the non net profit of Nanchang Mingzhou Kangfu was 9.8844 million yuan. The income from financial leasing business was 158 million yuan, a year-on-year decrease of 47.85%, mainly because the company took the initiative to reduce the scale. In 2022q1, there were sufficient orders on hand in the intelligent power distribution and consumption sector, with a year-on-year increase of 53%, and the revenue of the medical service sector increased by 26%.
Smart power distribution business has sufficient orders in hand and seizes the dual development opportunities of China and abroad.
In 2021, the company’s orders on hand totaled 6.707 billion yuan, a year-on-year increase of 26.58%, of which China’s orders on hand totaled 4.553 billion yuan, a year-on-year increase of 21.32%; Overseas orders on hand totaled 2.154 billion yuan, a year-on-year increase of 39.60%. According to the power equity incentive, the deduction of non net profit from the performance assessment target of intelligent power distribution and utilization in 20222024 shall not be less than 591 / 772 / 1 billion yuan.
The expansion of rehabilitation M & a continued to expand and further expand its leading edge.
In 2021q1, the revenue of medical services sector increased by 26% year-on-year, and the M & A and expansion of rehabilitation hospitals continued to advance. In 2021, the company completed the acquisition of 84% equity of Hangzhou Mingzhou Naokang rehabilitation hospital and 85% equity of Nanchang Mingzhou rehabilitation hospital. On April 22, 2022, the extraordinary general meeting of shareholders approved the 100% equity of five rehabilitation hospitals including Nanjing Mingzhou rehabilitation hospital, and the merger and expansion continued. According to the equity incentive assessment objectives, the listed company will add 10 hospitals every year in the next 22-24 years, and is expected to reach 35 by 2024, further expanding its leading edge.
Profit forecast and investment rating
Taking into account the company’s reduction in the scale of financial leasing business, we reduced the company’s operating revenue from 2022 to 2024 to RMB 8814 / 111.92/14.149 billion (the previous value was RMB 9692 / 11.098 billion in 22-23 years), with a year-on-year increase of 25.50% / 26.98% / 26.43%. Without considering the impact of equity incentive expenses, it is estimated that the net profit deducted from non parent company is RMB 932 / 12.09/1.533 billion (the previous value was RMB 960 / 1.171 billion in 22-23 years). The intelligent power distribution business has sufficient orders in hand, which lays the cornerstone of performance. The M & A expansion of rehabilitation continues to advance, and the chain rehabilitation has great potential to maintain the “buy” rating of the company.
Risk tips: the risk of repeated covid-19 epidemic, the risk of less than expected policy implementation, the risk of fluctuations in the performance of intelligent power distribution, the risk of less than expected performance of medical services, and the risk of less than expected M & A.
