Performance summary: the operating income in the first half of 2021 was 1.28 billion yuan, an increase of 5.6% over the same period last year, and the net profit attributable to shareholders was 280 million yuan, an increase of 11.8% EPS0.62 yuan over the same period last year.
The performance was solid and orders picked up: operating income increased by 5.6% in the first half of 2021 compared with the same period last year, and home net profit increased by 11.8% compared with the same period last year. In a single quarter, the company's Q2 revenue was 750 million yuan, and seasonal factors and the periodic decline in the industry economy led to a 5.4% year-on-year decline in Q2's net profit of 180 million yuan, an increase of 5.1% over the same period last year.
With the resumption of bidding work in various places after the epidemic, the situation of new orders signed by the company in the first half of the year was significantly better than that in the same period last year. During the reporting period, the company and its subsidiaries signed seven new orders totaling 1.16 billion yuan, an increase of 26% over the same period last year.
Overall profitability improvement: the company's gross profit margin in the first half of 2021 was 31.3%, up 1% from the same period last year. The increase in gross profit margin was mainly due to the improvement of the profitability of the company's municipal landscape business. The net interest rate was 21.7%, up 1.2 percentage points from the same period last year. The expense rate during the period was 5.4%, an increase of 0.4% over the same period last year, mainly due to the lower management fees affected by the epidemic in the same period last year.
Cash flow is good: the middle-aged report revealed that the monetary fund on hand is 670 million yuan, the capital is relatively abundant, and the asset-liability ratio is 56.1%, which continues to maintain a low level in the industry, and the company continues to increase the recovery of project funds during the period.
We will lay out the field of carbon neutralization and actively improve the industrial chain. With the strategic deployment of the national "carbon peak, carbon neutralization", investment in the ecological field continues to maintain a high boom. In addition to continuing to strengthen the layout of water ecological governance, mine restoration and forest park projects, the company is also actively developing the fields of carbon emission reduction, carbon conversion, carbon capture, carbon sequestration and forest carbon sequestration, and signed cooperation agreements with Shanghai Environmental Energy Exchange Co., Ltd., Shanghai Green Technology Technology Development Co., Ltd., which is expected to achieve new growth points in the field of carbon neutralization in the future.
Profit forecast and investment advice. It is estimated that the EPS in 2021-2023 will be 1.02,1.27,1.48 yuan, corresponding to PE is 10, 8, 7 times, taking into account the stable growth of the company's performance in the future, maintain the "buy" rating.
Risk hint: the project progress, the risk that the project payback is not as expected, and the risk that the business development is not as expected.
