\u3000\u3000 Beijing Oriental Yuhong Waterproof Technology Co.Ltd(002271) (002271)
The company released the performance express for 2021. In 2021, the company’s revenue was 31.89 billion yuan, an increase of 46.8% at the same time; The net profit attributable to the parent company was 4.19 billion yuan, an increase of 23.5% at the same time; The net profit deducted from non return to parent was 3.89 billion yuan, an increase of 25.7% at the same time. Against the background of severe business environment in 2021, the company’s performance still maintained a high-speed growth and demonstrated its leading strength.
Key points supporting rating
The revenue and net profit continued to improve, highlighting the strength of the leading company: the company’s revenue in 2021 was 31.89 billion yuan, an increase of 46.8% at the same time, exceeding the revenue target in 2021; The net profit attributable to the parent company was 4.19 billion yuan, an increase of 23.5%. Q4 revenue was 9.21 billion yuan, an increase of 36.4%; The net profit attributable to the parent company was 1.51 billion yuan, an increase of 20.1% at the same time. Under the severe background of tightening policies in the real estate industry, tight capital chain of real estate enterprises and sharp rise in raw material prices in 2021, the company can still exceed the performance target, demonstrating the strong strength of leading companies.
The expansion of integrated companies + categories has achieved remarkable results: in 2021, the company established integrated companies in many provinces and cities, and fully carried out channel sinking to further improve the national market share. The main demand of the location of the integrated company comes from the non real estate field, and the company’s non real estate business continues to develop. In addition, the company’s category expansion has also achieved remarkable results, and the non waterproof business income represented by architectural coatings has continued to increase.
Affordable housing and BIPV are expected to bring new increment: the company has high market share of TPO waterproof materials and rich construction experience, and has obvious advantages in BIPV waterproof. In 2021, the company increased cooperation with photovoltaic enterprises and continued to promote the development of BIPV business; During the 14th Five Year Plan period, affordable housing is the key development direction, which is expected to stimulate the demand of the real estate chain. As a leading enterprise, the company will continue to benefit.
Valuation
Considering the continuous production capacity of the company and the good performance of non waterproof business, we slightly adjust the performance expectation of the company. It is estimated that from 2021 to 2023, the company’s revenue will be 31.89 billion yuan, 40.71 billion yuan and 52 billion yuan respectively; The net profit attributable to the parent company was 3.89 billion yuan, 5.49 billion yuan and 7.52 billion yuan respectively; EPS was 1.52, 2.18 and 2.98 yuan, maintaining the company’s buy rating.
Main risks of rating
The price of raw materials rose sharply, the demand of downstream industries was lower than expected, and the turnover of accounts receivable was difficult.
