Event

China Reserve (600787) recently announced that it is expected to achieve a net profit of 426 million yuan to 471 million yuan attributable to the owner of the parent company in 2022, an increase of 188% to 218% over the same period last year.

Comment

During the reporting period, the company's core shipping business, deducting the non-return net profit index, increased from 140 million in the first half of 21 years to 169 million-211 million yuan in the same period of 22 years, an increase of 20% to 50% over the same period last year. (Q1 quarterly report in 22, deducting non-net profit increased by 41.6% over the same period last year) 1. China Reserve Intelligence Transport business is developing at a high speed.

This is the national network freight transport platform created by the company, which helps logistics demanders, suppliers and other enterprises to trade logistics capacity freely through the logistics capacity trading system. The operating profit in the first half of 22 increased by 342% over the same period last year, which is expected to bring a greater contribution to the company's annual performance. At the same time, it can also bring collaborative incremental effect to the company's warehousing and logistics business.

2. Income from disposal of individual assets

In June 2021, the company signed an agreement with the Urban Reconstruction and Renewal Bureau of Jiangan District, Wuhan City, the company recovered a total land area of 357000 square meters by the government, and the total compensation price was RMB 4.28 billion.

According to our statistics, by June 2022, the company has received a total of 1.342 billion of the compensation involved in this land expropriation, and there are still about 2.9 billion of the government supplementary funds to be accounted for in the future. It is expected that in the next three years, the company will still be able to bring an average of about 500 million per year in compensation and recognition income.

Investment rating

It is estimated that the net profit of the company's core logistics and warehousing business from 2022 to 2024 is 31%, and the profit contribution is expected to gradually exceed 50%. For the first time, we have covered the "overweight" rating.

Risk hint

The deterioration of the epidemic led to a decline in the demand of the freight platform, which exceeded expectations, and the arrival time of land compensation was too long and exceeded expectations.