Matters
The company released its 2014 annual report on the evening of the 30th, achieving operating income of 2.502 billion yuan, down 11.57% from the same period last year; net profit belonging to shareholders of listed companies was 140 million yuan, up 22.72% from the previous year; and net profit belonging to shareholders of listed companies after deducting non-recurring profits and losses was 19 million yuan, a decrease of 63.71% compared with the same period last year.
Main viewpoints
1. The total number of bids for national railway decreased, and the company's performance decreased compared with the same period last year.
Affected by the decline in the total number of national railway vehicle bids for the whole of 2014, the company's annual sales of axle products decreased by 13.11% compared with the same period last year, and railway vehicle products decreased significantly by 61.79% compared with the previous year. Net profit after deducting non-recurring profits and losses belonging to shareholders of listed companies decreased significantly by 63.71% compared with the same period last year.
In 2014, the company earned 86 million yuan in tradable financial assets and 121 million yuan in non-recurring profits and losses, accounting for 86% of the company's net profit belonging to shareholders of listed companies. Excluding its impact, the net profit belonging to shareholders increased by 22.72% from a year earlier to a substantial decrease of 63.71%.
two。 Excellent independent R & D capability, high-end positioning and diversified development
In the whole year, it won 12 national patents and won the 2014 equipment China technological Innovation Award.
The company has made new progress in the development of high-end axles, and the technical indicators of high-speed car hollow axles have reached the standards of foreign counterparts. 250 km / h car axles are on-line trial operation; 350 km car axles have passed the technical evaluation of the mainframe factory and achieved small batch supply, and the localization of EMU hollow axles is expected to be realized. In the process of import replacement of hollow shaft, the company is expected to enjoy high gross profit.
The company's pillow side frame and bogie products have obtained international authoritative qualification certification and have the only domestic export qualification.
The production qualification of railway vehicles has made a new breakthrough, and the production qualifications of C80E general open car and CQ80 light oil tank car have been won successively, and the P70 box car has successfully passed the ministerial technical evaluation.
3. The projects under construction and new construction are higher than expected, the demand for rail axles is strong, and the import substitution space is huge.
In 2014, the number of new railway projects increased from 44 to 64, and the production of new lines increased from 6600 km to 7000 km. With the increase in railway mileage, the purchase of railway locomotives and spare parts is inevitable.
The company's axle market share is about 35%. According to the 2013 data bit reference calculation, China's railway vehicle axle renewal demand is about 130000, new car demand is about 145000, export demand is about 170000, and the company's annual sales are about 140000.
Belt and Road continues to promote, the export market space is huge, and accelerate the export of products.
The price of imported high-speed rail shaft is about 60,000 yuan / root, while the most expensive price of the company is 10,000. The import substitution potential is huge, and the company is expected to benefit.
4. Profit Forecast:
It is estimated that the company's EPS in 2015 and 2016 will be about 0.24,0.27 yuan, corresponding to 102x and 90x PE respectively, and will be given a "recommended" rating.
Risk hint
1. The bidding of the national railway is not as expected.
two。 The export situation worsened