\u3000\u3000 Foryou Corporation(002906) (002906)
Key investment points
Key points of announcement: the company expects to realize the net profit attributable to the parent company of 280 ~ 300 million yuan in the whole year, slightly lower than our expectation, with a year-on-year increase of + 54.66% ~ + 65.70%, and the net profit deducted from the non attributable to the parent company of 242 ~ 262 million yuan, with a year-on-year increase of + 103.03% ~ + 119.81%. Q4 realized a net profit attributable to the parent company of 72 ~ 92 million yuan, with a year-on-year increase of – 21.7% ~ + 0.1% and a month on month increase of + 0.6% ~ + 28.7%; The net profit deducted from non parent company was 66 ~ 86 million yuan, with a year-on-year increase of + 13.2% ~ + 47.5% and a month on month increase of + 5.9% ~ + 37.9%.
The increase of sales volume of core customers in the fourth quarter promoted the same / month on month growth of profits. Non recurring profit and loss + equity incentive affected Q4 / full year profit: 1) affected by the mitigation of chip supply shortage and replenishment. The company’s core customers Great Wall Motor Company Limited(601633) / Geely Automobile / Chongqing Changan Automobile Company Limited(000625) / Guangzhou Automobile Group Co.Ltd(601238) . In Q4 of 2021, the sales volume was 1.199 million, with a month on month increase of + 30.8% and a year-on-year increase of – 4.6%. The company’s HUD products are mainly equipped with Haval H6 / big dog, and the sales volume of Q4 is 136000, with a month on month increase of + 45.3%. 2) In 2021, Q4 company obtained non recurring profit and loss of about 06 million yuan, which was – 82% higher than that in the same period of 2020. The annual non recurring profit and loss was about 22 million yuan lower than that in the same period of 2020. In 2020, the equity incentive fee was 8.67 million yuan, and the equity incentive fee in 2021 increased by about 10 million yuan compared with the same period in 2020. After deducting the impact of equity incentive, the net profit attributable to the parent company in 2021 was about 300 ~ 320 million yuan
Core customers enter the new product cycle, HUD fixed-point acceleration + product upgrading: 1) the company’s core customers Great Wall Motor Company Limited(601633) / Chongqing Changan Automobile Company Limited(000625) / Geely Automobile / Guangzhou Automobile Group Co.Ltd(601238) enter the new product cycle to promote the continuous improvement of sales; 2) The company’s HUD products have been designated by a number of head car enterprises. Later, it will be upgraded from w-hud to ar-hud, and the value of single vehicle is expected to increase from 1000 yuan to 4000 yuan.
\u3000\u3000 “Benefiting from the dividend of smart cockpit / HUD industry, precision die casting continues to improve: 1) based on the demand of efficiency + Safety + entertainment, consumers are willing to pay and promote downstream main engine manufacturers to actively improve the penetration of smart cockpit / ADAS. Under the dual advantages of high cost performance and rapid response ability, the customer quality of Chinese smart cockpit / ADAS suppliers is in the improvement channel, and Huayang is also a core beneficiary enterprise. 2 ）Benefiting from the downward cost, HUD products enter the supply chain of head brands, and the penetration rate is expected to accelerate. 3) Huawei cooperation opens up long-term growth space. With the help of its adaptive advantages of software and hardware integration, the company cooperates with Huawei in many fields and is expected to achieve win-win results. 4) Precision die casting business continues to improve. Benefiting from the lightweight upgrading trend brought by electrification, with the advantages of advanced manufacturing technology and service support, the company’s precision die casting business is expected to achieve steady growth.
Profit forecast and investment rating: the company’s non recurring profit and loss decreased by 22 million yuan compared with 2020, and the equity expense increased by 10 million yuan compared with 2020. Based on the above factors, we adjusted the company’s 2021-2023 revenue forecast from 48.49/63.25/8393 billion yuan to 44.30/63.25/8393 billion yuan, a year-on-year increase of + 31% / + 43% / + 33%, and the net profit attributable to the parent company from 3.1/4.54/660 billion yuan to 3.0/4.55/662 million yuan, Year on year + 66% / + 52% / + 45%, corresponding to 92.07/60.70/41.78 times of PE, maintaining the “buy” rating.
Risk warning: epidemic control is lower than expected; The recovery of passenger car demand was lower than expected.
