What happened: the company recently released its third quarter 2021 report. 21Q3 realized revenue of 153 million yuan, yoy+37.03%,qoq+82.14%, realized net profit of 61 million yuan, yoy+21.91%,qoq+90.63%, and deducted non-return net profit of 57 million yuan, yoy+17.09%, qoq+111.11%.
Comments: the performance is in line with expectations and the overall operation is sound. 21Q3 realized revenue of 153 million yuan, yoy+37.03%,qoq+82.14%, realized net profit of 61 million yuan, yoy+21.91%,qoq+90.63%, and deducted non-return net profit of 57 million yuan, yoy+17.09%, qoq+111.11%. The gross profit margin of 21Q3's products is 62.27%, the sales / management / R & D / financial expense rate is 4.56% 6.21%, the sales / management / R & D / financial expense rate is 4.56% 6.21%, the sales / management / R & D / financial expense rate is 4.56% 6.21%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / financial expense rate is 6.21%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / financial expense rate is 4.26%, the sales / management / R & D / The month-on-month improvement in profitability compared with the same period last year was mainly due to an increase in depreciation charges for the use of fund-raising projects over the same period last year.
Composite functional materials platform manufacturers, performance deeply bound Apple Inc, continue to be optimistic about the second half of the traditional peak season + IPO fund-raising project capacity release pull on the company's performance. In the second half of the year, benefiting from the traditional peak season of consumer electronics, the release of Apple Inc's new products in September, and the increased demand for functional materials for Apple Inc's new machine, the company's capacity utilization is expected to remain high. The fund-raising project is progressing steadily, and 5 of the 12 planned high-precision coating lines have been arranged, of which 4 production lines are being trial-produced and put into production according to business requirements, and an OLED international high-end production line and supporting equipment are being installed and are expected to be completed by the beginning of 22. The upward prosperity of the industry provides strong support for the digestion of new capacity, and the high visibility of performance in the second half of the year is expected to accelerate growth.
In the medium and long term, we are optimistic about the performance flexibility brought about by the increase in the share of new product introduction, customer expansion and upward migration of raw materials. 1) share increase, A customer products use large scale of functional materials, large number of materials, the company's current share is low, and there is much room for improvement. 2) at the present stage, the company's performance is deeply bound to Apple Inc, and the photoelectric display module material has been successfully introduced into Samsung. Backing Apple Inc, Samsung and other high-quality customers to open the brand influence, with the later production capacity gradually put into the company's supply capacity. It is expected to further enhance the growth space through the expansion of customer + application areas. 3) the company plans to invest 260 million yuan to set up a wholly-owned subsidiary for acrylic acid series of functional polymer materials development and industrialization projects, extending to the upstream industrial chain will help the company to optimize the procurement structure of raw materials and enhance profitability.
Investment advice: the estimated 22-year net profit of 21max is 289 million, corresponding to 34.4 PE, maintaining a "buy" rating.
Risk hints: production capacity climbing is not as expected, Apple Inc's new product sales are not as expected, new product introduction and customer expansion are not as expected.