The company's 2022H1 performance increased by 36%. The company's 2022H1 operating income was 5.61 billion yuan, an increase of 33.5% over the same period last year, and the net profit was 212 million yuan, an increase of 36.4% over the same period last year. The net profit from non-return was 149 million yuan, an increase of 8.4% over the same period last year. The net cash flow generated by operating activities was 263 million yuan, an increase of 213.2% over the same period last year. The tax rebates and government subsidies received by 2022H1 totaled 126 million yuan, an increase of 82 million yuan over the same period last year. 2022Q2's operating income was 2.807 billion yuan, up 10.6% from the same period last year, and the net profit from 2022Q2 was 85 million yuan from the previous month, up 11.0% from the same period last year, and down 32.5% from the previous month. 2022H1 achieved a sales volume of 291500 tons of recycled aluminum alloy, an increase of 5.6% over the same period last year. The negative drop in aluminum prices in the second quarter and the epidemic situation have a certain disturbance to the company's production, sales and performance in the second quarter.
Key projects are progressing smoothly. Cast aluminum alloy plate, convertible bond project Anhui Shunbo first phase of 400000 tons of production capacity is expected to achieve 100000 tons of production capacity in the fourth quarter of 2022. Deformed aluminum alloy plate, Hubei Shunbo 150000 ton deformation series aluminum bar project strives to be put into production in the fourth quarter of 2022, in addition, the company actively promotes the land and environmental assessment of Anhui Shunbo Phase II 500000 ton deformation series raw material project. strive to trial run part of the production capacity in 2023. In the solid waste treatment section, the company's single harmless utilization project of aluminum ash hazardous waste is progressing smoothly, and the project located in Chongqing has been approved by the Municipal Bureau of Ecological Environment during the reporting period. Xiangyang, Hubei and Maanshan, Anhui Province, aluminum ash projects are also actively carrying out project environmental assessment, safety assessment and other preliminary procedures.
Risk hint: the company's new capacity production progress is not as expected, downstream demand weakening risk.
Investment advice: maintain a buy rating.
Assuming that the domestic price of recycled ingots remains at the 2021 level, it is estimated that the average annual sales price of recycled alloy ingots in 2022-2024 is 16488 yuan per ton, and the gross profit per ton of the company's aluminum alloy products will maintain the 2021 level. It is estimated that the company's revenue in 2021-2024 will be 121 shock 151,185 billion yuan respectively, a year-on-year growth rate of 21.5 million 22.3 million and net profit of 4.62 million yuan and 582 million 736 million yuan respectively. Year-on-year growth rate of 35.0 pounds 26.0 pounds 26.4 percent Diluted EPS=1.05/1.33/1.68 yuan, the current stock price corresponds to PE=14.7/11.7/9.2X. The company is the leading domestic recycled aluminum production enterprise, the company capacity layout area is reasonable, the future production capacity further expansion, the layout of aluminum ash treatment project is expected to bring the company a new profit growth point, advance layout of recycled aluminum grade utilization, open up the future growth space. The company will fully benefit from the accelerated development of the recycled aluminum industry and maintain its "buy" rating.