Event: the company issued the 2022 annual results announcement.
The performance is in line with expectations, and the proportion of public clothes has increased. The company expects to achieve a net profit of 10.50-1.35 billion yuan in 2022, turning a loss into a profit. It is estimated that the deduction of non-net profit will be 90-1.1 billion yuan in 2022, turning losses into profits. The expected performance has not been audited. In 2022, the total amount of newly signed orders by the company totaled 22.168 billion yuan, down 28.03% from the same period last year, of which the proportion of public clothing projects increased to 81.50% and that of residential projects decreased to 11.26%. Due to the short cycle of the public dress project, the overall project payback time of the company has been shortened and the cash flow has been improved. This year, the total amount of unsigned orders for winning bids is 15.032 billion yuan.
There are frequent positive policies on real estate, and the risk of impairment is fully released. In 2021, due to the shortage of funds, the company made provision for impairment of assets such as items receivable due to the overdue payment of commercial acceptance bills, and there was no impact of the above large impairment losses in 2022, which thickened the company's performance. Since 2022, there have been frequent positive policies on real estate, and regulators have issued "three arrows" one after another, providing support for the financing of real estate enterprises from the three areas of credit, debt and equity, relaxing purchase restrictions, reducing the proportion of down payment, and lowering interest rates in some areas. the real estate industry chain has hit bottom and rebounded, and decoration and decoration enterprises have ushered in more business opportunities. As an industry leader, the company has strong anti-risk ability. at present, the number of orders on hand is still rich, and there is still a lot of room for growth in the follow-up performance.
Adhere to the innovation-driven strategy to enhance the competitiveness of emerging business. The company adheres to the innovation-driven strategy, actively adapts to market changes, strives to enhance the competitiveness and technical level of emerging business, and further strengthens the company's barrier advantages. The company has made steady progress in EPC business, component general contract management team, applied in many scenarios; continuous efforts in assembly business, has undertaken many kinds of projects in Beijing, Cangzhou, Shenzhen and other places, and a number of isolated hotel and hospital projects have been completed; in the application and promotion of BIM technology, the company has more than 100 BIM technology application projects every year It has begun to take shape in terms of urban renewal projects, creating a number of benchmarking projects such as the Wendao Historical District in Taiyuan City, Shanxi Province, and accelerating the development of the medical care plate. Weifang Maternal and Child Health Hospital, Chengdu Frontier Medical Center and many other excellent projects.
Investment suggestion: the company is expected to have a revenue of 24.098 billion yuan in 2022 and a net profit of 1.215 billion yuan, with an EPS of 0.46 yuan per share and an PE of 11.63 times of the previous share price, maintaining a "recommended" rating.
Risk hint: the risk that the landing of the order is not as expected; the risk that the real estate policy is not as expected.
