Event: in 2021, H1, the company achieved operating income of 3.834 billion yuan, an increase of 100.50% over the same period last year, a net profit of 415 million yuan, an increase of 25.66% over the same period last year, and a non-return net profit of 409 million yuan, an increase of 25.23% over the same period last year.
In 2021, H1, the company's cumulative power generation was 1.654 billion kWh, an increase of 28.69% over the same period last year, and the online electricity consumption was 13.81 billion kWh, an increase of 27.66%.
Comments:
There is a substantial increase in revenue, and the carry-over of project costs affects performance growth. In 2021, H1, as the revenue of the BOT project under construction was confirmed according to the progress of implementation and some new projects were put into production, the company's operating income increased significantly. The increase in the company's return net profit is much lower than the revenue growth, mainly because the BOT project needs to invest a large amount of money to complete the project construction. In the first half of the year, the company carried forward 1.284 billion yuan according to the implementation schedule for the BOT project under construction, which greatly increased the company's operating cost by 128.88% compared with the same period last year, affecting the growth of home net profit.
The operation project is progressing smoothly, and the expansion project ensures the follow-up performance increment. In the field of solid waste disposal operation, according to the company's announcement, as of June 2021, the company had operated 22 domestic waste incineration projects, compared with 7 at the end of 2020, with a total of 4.3293 million tons of incoming waste, an increase of 27.70% over the same period last year (including the entrusted operation of the Old Port Phase I). At the same time, six garbage transfer stations were operated, with a total transfer of 547900 tons of waste, an increase of 31.17% over the same period last year. In addition, the company invests, builds and operates two municipal solid waste landfill projects, distributed in Shanghai and Xinchang, with a landfill volume of 98200 tons. The year-on-year decline in landfill volume is due to the suspension of operation of Laogang Phase IV, Fenghua and Mengcheng landfill projects.
In terms of water treatment operation, in the first half of 2021, the company operated four sewage treatment plants, with a cumulative total sewage treatment capacity of 205 million tons and an average daily treatment capacity of 1.1305 million tons. In the field of environmental remediation and technical services, in the first half of 2021, the company has undertaken more than 50 regional site investigation and assessment projects, contaminated sites and environmental restoration and business, and signed 147 new technical service contracts. The new projects cover 14 provinces (municipalities and autonomous regions), including Beijing-Tianjin-Hebei, Yangtze River Delta, Dawan area and Sichuan-Chongqing urban agglomeration. Project expansion and business expansion provide a strong guarantee for follow-up performance growth.
The "2-4" strategy has been upgraded to the "environmental governance plus" strategy, and two-wheel drive has contributed to steady performance growth. During the 14th five-year Plan, the company clearly defined the strategic vision of upgrading from "2th five-year Plan" to "Environmental treatment +". Three light asset businesses of "planning consultation, ecological restoration, agency construction and escrow" and three asset businesses of "domestic waste, hazardous medical waste and sewage treatment" are identified as the main line, with both importance and two-wheel drive as the main line. With the promotion of the company's "environmental governance +" strategy, the layout of the company's business areas is becoming more and more abundant, and the promotion of incremental business and stable operation of stock business are expected to drive the steady growth of the company's performance.
The company's operating project is progressing smoothly, the expansion project brings incremental guarantee of performance, the operating income of waste incineration power generation increases steadily, and the future performance is expected to increase steadily. It is estimated that the company's operating income from 2021 to 2023 will be 53. 64 and 59. 6 respectively.
65 and 6.571 billion yuan, up 18.89%, 11.21% and 10.16% respectively over the same period last year; the net profit of realizing homecoming was 7.37,8.16% and 894 million yuan respectively, up 17.72%, 10.82% and 9.55% respectively over the same period last year, and the EPS was 0.
64,0.71,0.77 yuan, corresponding to PE 18.33,16.54,15.09 times, maintaining the "overweight" rating.
Risk tips: project promotion is not as expected; policy promotion is not as expected; market competition is intensified.
