\u3000\u3 China Vanke Co.Ltd(000002) 810 Shandong Head Co.Ltd(002810) )
Event: the company issued the annual report of 2021 and the report of the first quarter of 2022. In 2021, the company achieved a total operating revenue of 1.56 billion yuan, a year-on-year increase of 19.22%; The net profit attributable to the shareholders of the parent company was 330 million yuan, a year-on-year increase of 30.65%. In the first quarter of 2022, the company realized an operating revenue of 392 million yuan, a year-on-year increase of 19.05%; The net profit attributable to the shareholders of the parent company was 96 million yuan, a year-on-year increase of 20.66%.
The performance in 2021 is excellent, and it still maintains rapid growth under cost pressure. In 2021, the company achieved a total operating revenue of 1.56 billion yuan, a year-on-year increase of 19.22%; The net profit attributable to the shareholders of the parent company was 330 million yuan, a year-on-year increase of 30.65%. Among them, the cellulose ether division achieved an operating revenue of 1.204 billion yuan and a sales volume of more than 40000 tons; The graphite equipment division achieved an income of more than 46 million yuan, with a record annual income and profit, and effectively played a synergistic effect to support the construction of Zibo Heda project. The subsidiary Hershey capsule achieved a year-on-year increase of 78.63%, with sales of more than 14 billion tablets. The sales volume in non European and American markets also continued to expand. The rapid growth benefited from the continuous improvement of production capacity. In the second half of 2021, the company's main raw materials were at a high level, superimposed with the impact of shipping, and the profit margin was under pressure. However, the company's cost control ability was improved. During this period, the overall cost rate decreased by 1.93pct year-on-year, and the net interest rate increased by 1.66pct year-on-year.
The net profit of 2022q1 reached a new high in the first quarter of previous years. In the first quarter of 2022, the company realized an operating revenue of 392 million yuan, a year-on-year increase of 19.05%; The net profit attributable to the parent company was 96.33 million yuan, a year-on-year increase of 20.66%. The company's gross profit margin increased by 38.43% in the fourth quarter of 2021; The company's net profit margin on sales reached 24.58%, an increase of 11.00pct compared with the fourth quarter of 2021. The epidemic situation in Shandong in the first quarter had an impact on the company's production and product transportation, but the company's profitability was strong, and the net profit in the first quarter of 2022 hit a new high in the same period of previous years.
The rapid and large-scale volume of plant capsules and plant meat are expected to contribute new growth points in the future. In 2021, the output of plant capsules increased from 8.298 billion capsules in 2020 to 16.278 billion capsules, with a gross profit margin of 63.69%. By the end of 2021, there were 50 capsule production lines with a production capacity of more than 26 billion capsules. It is expected that the production capacity will reach 35 billion capsules in the future, which will continue to provide a strong driving force for the growth of the company's performance. Mitega's "pilot plant project with an annual output of 700 tons of plant meat" was officially put into production in August last year. At the same time, mitega's phase II plant is under design and planning, with a design capacity of 30000 tons, which is expected to contribute new performance growth points in the future.
Investment suggestion: it is estimated that the company's earnings per share from 2022 to 2024 will be 1.60 yuan, 2.19 yuan and 2.71 yuan, corresponding to 27, 20 and 16 times of PE respectively. Considering that the company is the leader of cellulose ether and plant capsule in China, high gross profit products continue to be produced in large quantities, the subsequent new production capacity is boosted rapidly, the long-term growth of performance is guaranteed, and the "buy" rating is maintained.
Risk warning: the new project is not put into operation as expected; Downstream demand is lower than expected; Product price fluctuation risk.
