From January to September 2009, the company achieved operating income of 889 million yuan, down 41.96% from the same period last year; operating profit was 72.3251 million yuan, down 41.56% from the same period last year; the total profit was 81.7098 million yuan, down 47.65% from the same period last year; the net profit belonging to the owner of the parent company was 19.9175 million yuan, down 67.19% from the same period last year; basic earnings per share is 0.09 yuan.
The company is mainly engaged in import and export trade, mainly engaged in commodity trade, according to the location of business, Zhejiang business income accounts for 99.97% of the company's business income, the company's operating performance is closely related to the regional economy and commodity prices. Due to the sharp decline in international commodity prices from 2008 to the first half of 2009, and the sluggish import trade in Zhejiang, the company's operating income fell sharply.
The main business recovers slowly: the company's operating income reached 325 million yuan in the third quarter of 2009, down 40.94% from the same period last year and an increase of 1.93% month-on-month. This is mainly due to the 18.9% year-on-year decline in the total value of imports and exports in Zhejiang in the first half of the year. August and September, although the year-on-year decline narrowed slightly, but the overall recovery was slow. It is expected that from the fourth quarter, due to the further clarity of the economic recovery of major countries in the United States and Europe, China's import and export trade will pick up, when the company's performance will increase.
Investment income greatly increased, inventory prices returned to contribute profits: the company's net profit in the third quarter was 36.8628 million yuan, an increase of 119.55% over the same period last year, or 13 times that of the previous quarter.
Mainly due to the increase in futures trading income of Zhejiang Yuanda Import and Export Co., Ltd., a subsidiary of the company in the third quarter, the investment income was 12.6655 million yuan. In the same period, the falling price of inventory was prepared to rush back to 11 million yuan, accounting for 51.02% of the total profit.
Earnings forecast: we expect the company to earn 0.11 yuan, 0.04 yuan and 0.07 yuan per share in 2009, 2010 and 2011, corresponding to the closing price of 6.70 yuan on October 27, 2009, with a dynamic P / E ratio of 61 times, 168 times and 96 times respectively, maintaining a neutral rating.
Risk hint: Zhejiang Yuanda Import and Export Co., Ltd., a subsidiary of the company, holds a futures position with a contract amount of 128 million yuan, which is at risk of investment loss; the recovery of regional import and export trade is not clear, and there is an uncertain risk of company income growth. The performance of the company depends too much on the subsidiary Zhejiang Yuanda Import and Export Co., Ltd., while the company accounts for only 52% of the shares, and the proportion of minority shareholders' profits and losses to net profits has increased year after year, so there is a risk that listed companies will subsidize minority shareholders.
