Xiangtan Dianhua released its semi-annual report in 2022: the company's operating income in the first half of the year was 916 million yuan, an increase of 3.47% over the same period last year, and the net profit belonging to shareholders of listed companies was 305 million yuan, an increase of 507.97% over the same period last year. The net profit after deducting non-recurring gains and losses belonging to shareholders of listed companies was 301 million yuan, an increase of 523.39% over the same period last year.
Main points of investment
The supply end of EMD is rigid, and the company has a solid leading position in the industry.
According to the guidance catalogue of industrial structure adjustment issued by the National Development and Reform Commission, the new production capacity of electrolytic manganese dioxide belongs to the limited category, and the supply end of electrolytic manganese dioxide (EMD) is rigid.
The company has two major production bases in Xiangtan, Hunan and Jingxi, Guangxi. The annual production capacity of electrolytic manganese dioxide is 122000 tons. It is the enterprise with the longest development history of electrolytic manganese dioxide industry. The main technical indicators of the products are in the leading position in the industry. It has the advantages of complete specifications and excellent performance, and enjoys a high reputation in the battery industry at home and abroad. It has maintained good communication with the major battery manufacturers around the world and established a long-term and stable cooperative relationship. The company currently has a manganese ore mining right in Hunan (manganese ore resources reserves of about 194100 tons) and a manganese ore exploration right in Guangxi (manganese ore inferred resources of about 627700 tons). Through industrial integration, the company's EMD business industry leading position is solid.
Lithium manganate is an excellent cathode material with short-term pressure.
As the cathode material of lithium manganate battery, lithium manganate has the advantages of high voltage platform, good rate performance and good safety performance. it is mainly used in electric bicycles and low-speed electric vehicles, low-power (power tools, etc.), digital electronic products, energy storage and other fields, but also can be mixed with ternary materials or lithium ferromanganese phosphate. In recent years, the market of two-wheel electric vehicles, small power (power tools, etc.) and digital products has developed rapidly.
In the first half of 2022, the supply of lithium resources in the upstream is tight, the price of lithium carbonate remains high, the production enterprises of lithium manganate industry are facing the pressure of rising costs and shortage of lithium sources, and the operating rate of the industry is insufficient. The rise in the price of major raw materials has led to a sharp increase in the sales price of lithium manganate compared with the same period last year, and the demand in the downstream consumer market has weakened.
The first phase production capacity of Guangxi Lithium manganate products, a holding subsidiary, is 20,000 tons / year, and the first production line with an annual output of 10,000 tons has been put into production in 2021. Affected by the persistently high market price of lithium salt, at present, the company focuses on R & D and innovation of precursors, strengthening joint development with downstream, increasing product added value through technological innovation, developing products with better performance, and actively and steadily supply chain, committed to building an industrial chain from manganese ore resources to manganese new energy cathode materials to further improve competitiveness.
Manganese tetroxide business, growth is promising
The company is carrying out the R & D and innovation of the precursor manganese tetroxide, increasing the added value of products through technological innovation, developing products with better performance of high-rate, high-temperature storage and circulation, and devoting itself to building an industrial chain from manganese ore resources to manganese new energy cathode materials to further improve competitiveness. The company's planned production capacity of manganese tetroxide is 10,000 tons / year. At present, the product is in the large-scale trial stage, and the follow-up production capacity planning will be determined according to the market and downstream customer demand.
Profit forecast
The forecast company's income from 2022 to 2024 is 22.79,29.97,3.753 billion yuan respectively, and the EPS is 0.40,0.61,0.96 yuan respectively. The current stock price corresponding to PE is 46.3,29.9,19.1 times, covering for the first time and giving a "buy" investment rating.
Risk hint
Repeated risk of epidemic situation; risk of sharp fluctuation of product price; risk that project construction is less than expected; risk of being limited by environmental protection policy.