\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 868 China Energy Engineering Corporation Limited(601868) )
Core view
China Energy Engineering Corporation Limited(601868) released the first quarterly report of 2022. 22q1 company achieved a revenue of 71.276 billion yuan, a year-on-year increase of + 16.26%; The net profit attributable to the parent company / deduction of non net profit was 960 / 837 million yuan, a year-on-year increase of + 16.44% / 23.89%. The performance is in line with expectations.
Key investment points
There were sufficient orders on hand, and the revenue and net profit of 22q1 increased both
22q1 achieved a revenue of 71.3 billion yuan, a year-on-year increase of 16.3%, and a net profit attributable to the parent company of 960 million yuan, a year-on-year increase of 16.4%. The main reason is that the company's orders on hand at the end of the 21st year were 1.6 trillion yuan, the order guarantee ratio was about 5, the capital construction force was steadily increased, and the company's order carry forward was accelerated. 22q1 gross profit margin was 10.5%, with a year-on-year / month on month ratio of - 1.1 / - 4.0pct respectively; During 22q1, the expense rate was 7.3%, with a year-on-year / month on month ratio of - 0.3 / - 1.3pct respectively, which remained stable on the whole. 22q1 net operating cash flow was - 14.3 billion yuan, an increase of 1.87 billion yuan year-on-year, mainly due to the increase in payments for purchasing goods and receiving labor services.
Speed up business and increase profits in an all-round way
Revenue: 22q1, the company's new energy and comprehensive smart energy business achieved a revenue of 16.39 billion yuan, a year-on-year increase of 21.1%. New signing: the new contract amount of new energy engineering contracting business increased by 188%, and the new contract amount of 22q1 new energy engineering contracting business increased by 102.6 billion yuan, a year-on-year increase of 188%.
Speed up of investment and construction: on March 22, the company invested nearly 10 billion yuan in investment and construction projects such as wind power and energy stations, with a total installed capacity of 1.6gw; On April 28, the company signed a contract for Hubei Qichun pumped storage power station with an installed capacity of 1.2gw. After it is put into operation, it is expected to contribute 100 million yuan of local tax every year; The installed capacity of Fengguang new energy under construction reaches 3.7gw.
The investment intensity of R & D expenses has increased, and the industrialization of science and technology has achieved fruitful results
High increase in R & D expenses: the R & D expenses of 22q1 company were 920 million yuan, an increase of 34% compared with 690 million yuan in the same period of 21 years, with a corresponding R & D expense rate of 1.3%, a year-on-year increase of 0.2pct.
The research and development direction is closely linked to the "double carbon" strategy: in the past 22 years, the company has established a project with the mechanism of "leading the list" in the fields of 3060 system solutions, new power system, new energy, energy storage, hydrogen energy, transportation and energy integration, and construction and energy integration, and launched 9 major science and technology projects and 20 key R & D projects.
Remarkable achievements in industrialization: on January 18, 22, the 14th five year plan for energy development in Chongzuo prepared by the company passed the expert review, and solidly promoted the construction of Chongzuo's comprehensive energy base project of "integration of scenery, water, fire and storage". On February 11, Hubei Yingcheng 300MW compressed air energy storage (according to the publicly disclosed information: the annual power generation is 500 million kwh) new technology demonstration project passed the expert review; From February 22 to 23, the company's China Energy Engineering Corporation Limited(601868) digital group participated in the promotion of Shandong Tai'an 2 × The feasibility study review of 300MW compressed air energy storage demonstration project was completed.
The central government has set the tone to comprehensively strengthen infrastructure construction, with high growth in short, medium and long-term performance
Industry level: on April 26, the central financial and Economic Commission held its 11th meeting, which emphasized comprehensively strengthening infrastructure construction and building a modern infrastructure system to lay a solid foundation for building a modern socialist country in an all-round way. On April 29, the Politburo meeting called for full expansion of China's demand, giving play to the key role of effective investment, strengthening the guarantee of land, energy use and environmental assessment, and comprehensively strengthening infrastructure construction. During the year, the demand for infrastructure increased steadily, the existing projects under construction are expected to be accelerated, and the company's annual performance is expected to increase significantly.
Company level: in the short term, the number of new orders signed by the company is increasing, which is expected to support the high growth of annual performance; In the medium and long term, the management and control power of the company's headquarters has been continuously strengthened. It has anchored the "3060" center and the two basic points of hydrogen energy and energy storage, made efforts to invest in and operate new energy, put forward overseas priority development strategies, and has sufficient potential for development.
Profit forecast and valuation
It is estimated that the company will realize an operating revenue of 374.8/440.3/513.7 billion yuan from 2022 to 2024, with a year-on-year increase of 16.29% / 17.48% / 16.65%, and a net profit attributable to the parent company of 9.584110.33/12.749 billion yuan from 2022 to 2024, with a year-on-year increase of 47.35% / 15.12% / 15.55%, corresponding to EPS of 0.23/0.26/0.30 yuan. The current price corresponding to PE is 10.5 / 9.1 / 7.9 times. Maintain the "overweight" rating.
Risk tip: the growth rate of infrastructure investment is lower than expected; The growth rate of new energy investment was lower than expected.
