2021H1's revenue was 1.048 billion yuan (+ 30.58%) and its net profit was 118 million yuan (+ 34.6%) in the first half of 2021. In the first half of 2021, the company's revenue was 1.048 billion yuan, an increase of 30.58% over the same period last year; net profit from its mother was 119 million yuan, an increase of 34.6% over the same period last year; and diluted earnings per share was 0.20 yuan, an increase of 33.33%.
Production and sales are booming in the first half of the year, new energy vehicles become new bright spots in crankshaft business growth in the first half of 2021, heavy truck and luxury passenger car industries maintain high prosperity, new energy vehicles become new bright spots in crankshaft business growth, and the company's production and sales orders continue to be exuberant. At present, BMW B48 crankshaft has completed the delivery of test pieces, Fukuda Cummins 13-liter crankshaft has completed the first batch of samples, BYD hybrid models supporting 472,476 crankshafts have entered mass production, and with hot sales of BYD Qin PLUS DM-i and other models, the company's crankshaft orders have greatly increased, and the current production capacity has reached 30,000 pieces per month, which has become a new bright spot of crankshaft business growth.
To raise an additional 291 million yuan to create a new benefit growth point in shipbuilding, nuclear power and other fields, on July 13, the company privately issued 54.1899 million A-share common shares at an issue price of 5.37 yuan per share, with a total fund of about 291 million yuan. Used for the implementation of the "large crankshaft precision forging production line project".
After the completion of the implementation, the company will greatly enhance the matching capacity of the company's large crankshaft forgings needed in the fields of ships, nuclear power and construction machinery, effectively extend the Foda forging industry chain, create a new benefit growth point of the company, and enhance the company's core competitiveness. promote the main industry to become bigger and stronger step by step. With the further promotion of "made in China 2025", "Belt and Road Initiative", "marine power" and "nuclear power power", the prosperity of downstream shipping, nuclear power and construction machinery industries is expected to continue to improve, and the market demand for large crankshafts may be further released.
Selected into the third batch of state-level special new "Little Giant" enterprises, with great growth potential on July 19, the Ministry of Industry and Information Technology announced the third batch of specialized new "Little Giant" enterprises. The policy aims to encourage small and medium-sized growing enterprises to take the route of transformation and upgrading of specialization, refinement, characteristics and novelty, so as to solve the "bottleneck" technical problems of the manufacturing industry. The company is among them, horizontal and vertical two-way continue to broaden the crankshaft downstream application areas and new customers, new product development, market share is expected to further increase, the growth potential is huge.
Earnings Forecast, valuation and rating
It is estimated that the company's homing net profit from 2021 to 2023 will be RMB 2.52x334,000,000, with a growth rate of 25.7%, 32.4% and 34.0%, respectively. After the IPO, the EPS will be RMB 0.39max, 0.52 and 0.69, respectively, with a price-to-earnings ratio of 22-17-12. The company's competitive advantage is obvious, and its share is expected to increase. The expansion of luxury passenger cars and the large crankshaft business of "stuck neck" will open more room for growth and maintain the "recommended" rating.
Risk tips: commercial vehicle market fluctuations, passenger car customer development, large crankshaft business not up to expectations
