Event: the company released its quarterly report for 2022, with an operating income of 1.112 billion yuan, an increase of 25% over the same period last year, a net profit of 127 million yuan, an increase of 94.05% over the same period last year, and a non-return net profit of 110 million yuan, an increase of 80.45%.
Copper foil products are full of production and sales, and the profitability of the products is improved. The company's revenue decreased slightly from the previous quarter, and the company's shipments in the first quarter were affected by factors such as the Spring Festival and the epidemic situation, which decreased slightly to nearly 9000 tons. It is estimated that the unit net profit of copper foil products during the reporting period is about 13,000 yuan / ton, slightly lower than the previous month, but still at a high level, mainly due to the tight supply of high-quality copper foil. The company actively promotes the upgrading of product structure, the proportion of 6 μ m copper foil shipments has increased significantly, and the higher technical content of products corresponds to a higher processing fee premium. We believe that the company has technical advantages in ultra-thin copper foil and is able to ship in bulk. With the increase in demand, the profit per ton in 2022 will maintain a high level.
Lithium copper foil maintains the attribute of high-tech barrier, and the company steadily expands production to seize the incremental market. Qinghai copper foil base in the production capacity of 35,000 tons / year, 2021 under construction capacity of 15,000 tons / year, preparation capacity of 15,000 tons / year, the total capacity will reach 65,000 tons / year; Huizhou copper foil base production capacity of 0.8 million tons / year, another 12000 tons / year capacity has been completed commissioning, began mass production. In addition, the company has signed a new production base of 100000 tons of copper foil in Huangshi, Hubei Province. to sum up, after all the production bases are completed, the company's future production capacity will reach 185, 000 tons / year. Lithium copper foil industry requires high scale of equipment investment and has strong economies of scale. In addition, the heat resistance, oxidation resistance and surface uniformity of copper foil products constitute high technical barriers, and there is no threat of price war in the short and medium term. Therefore, the company's capacity expansion is advancing steadily, which can not only meet the expanding needs of downstream customers, but also increase the company's market share and maintain good profitability, with strong performance certainty.
Profit forecast and investment advice. It is estimated that the EPS of the company from 2022 to 2024 will be 0.53,0.68,0.83 yuan respectively, and the net profit of homing will maintain a compound growth rate of 53% in the next three years. Considering that the supply of copper foil will continue to be tight in the next two years, the company has stable profitability and strong performance certainty. At the same time, with the large-scale release of the company's production capacity, the advantage of scale is expected to dilute the cost, further increase the net profit per catalytic unit, and maintain the "buy".
Rating.
Risk hints: the risk of industrial policy change; the risk of intensified competition in the industry and the decline of product processing fees; the risk of raw material price fluctuation.