\u3000\u3 Shengda Resources Co.Ltd(000603) 267 Beijing Yuanliu Hongyuan Electronic Technology Co.Ltd(603267) )
Event: the company released the first quarterly report of 2022 on April 29. In 2022q1, the operating revenue was 703 million yuan, with a year-on-year increase of 18.63%, the net profit attributable to the parent was 259 million yuan, with a year-on-year increase of 18.72%, and the net profit deducted from non attributable to the parent was 257 million yuan, with a year-on-year increase of 21.02%.
The performance grew steadily and the profitability was improved. On the revenue side, the company realized an operating revenue of 703 million yuan in 2022q1, with a year-on-year increase of 18.63%; On the profit side, the company realized a net profit attributable to the parent company of 259 million yuan in 2022q1, with a year-on-year increase of 18.72%. In terms of profitability, the gross profit margin of 2022q1 company was 56.75%, with a year-on-year increase of 2.09pct; The net interest rate was 36.83%, with a year-on-year increase of 0.03pct. The downstream demand of self-produced business continues to be strong. The company accelerates the improvement of production capacity and continues to expand categories, and the performance is expected to continue to grow steadily. At the same time, the gross profit margin of self-produced business is high, which may help further improve the profitability of the company.
We continued to increase investment in research and development and vigorous production and operation activities. 2022q1 company’s three fees accounted for 6.74%, with a year-on-year increase of 0.54%; The R & D expenditure was 25 million yuan, with a year-on-year increase of 105.87%. The company continued to increase R & D investment, which is a strong support for consolidating the industry position and product upgrading. At the end of the period, the company’s contract liabilities were 05 million yuan, an increase of 89.11% year-on-year, and the company had sufficient orders on hand; Prepayments, notes payable and inventories were 46 million yuan, 342 million yuan and 490 million yuan respectively, with a year-on-year increase of 90.92%, 271.25% and 116.83%. The company is actively preparing goods for production, which may indicate that the high prosperity of the industry is expected to continue and the performance is expected to continue to grow steadily.
China’s military MLCC core supplier, and fund-raising projects contribute to performance growth. The company is the core supplier of MLCC for Chinese military. Now it has three industrial bases in Beijing, Chengdu and Suzhou, and has mastered a complete set of technologies from ceramic powder preparation to ceramic capacitor production. MLCC products have a broad market space in the electronic field. At present, the company’s self-produced products are mainly used in the military industry, which is expected to benefit from the acceleration of weapon equipment informatization and domestic substitution; With the continuous improvement of 5g and automotive electronics penetration, the company’s self-produced products are expected to benefit from the import substitution in the civil field. In 2021, the company’s IPO project was completed, and the production line has reached the expected usable state. After reaching the production capacity, it will increase the production capacity of 1.925 billion general-purpose MLCCs and 75 million highly reliable MLCCs, and the performance is expected to grow steadily.
Investment suggestion: we estimate that the company’s revenue in 202224 will be 3.084 billion yuan, 3.778 billion yuan and 4.494 billion yuan respectively, the net profit attributable to the parent company will be 1.074 billion yuan, 1.344 billion yuan and 1.612 billion yuan respectively, the EPS will be 4.62 million yuan, 5.78 million yuan and 6.94 yuan respectively, and the corresponding PE will be 25.47x, 20.36x and 16.98x respectively. The company is one of the three major suppliers of military MLCC in China. It is expected to give priority to benefiting from the acceleration of national defense information construction and domestic substitution process, Maintain the “buy” rating.
Risk warning: the volume of military orders and new products is less than expected; The delivery of military orders is less than expected; The risk that the performance forecast and valuation judgment do not meet the expectations.
