The performance was lower than expected. Revenue, profit growth and profitability were all lower than expected. In 2010, the operating income was 1.86 billion yuan, an increase of 25% over the same period last year; the operating profit was 17% higher than the same period last year; and the net profit of shareholders belonging to listed companies was 137 million yuan, up 12% from the same period last year.
The gross profit margin was 17.71%, down slightly from the same period last year, slightly lower than expected; the management expense rate was 5.87%, up from the same period last year, higher than expected; and the net profit rate was 7.9%, down 1 percentage point from the same period last year.
Reason: demand and cost double kill. 1. Black electricity demand is weak. The income of automobile structural parts is lower than expected, the zero growth of black electricity is in line with the expectation, and the high growth of white electricity structural parts is slightly higher than expected. two。 The decline in profitability is due to rising raw material costs and expense rates. The research expenditure and the salary of the staff and workers increased more.
Company development plan. 1. The company's 2011 business plan: the 2011 operating income will strive to complete 2.4 billion yuan, an increase of 30.00% over the same period last year, and the operating cost will be 2 billion yuan, an increase of 30.00% over the same period last year; and strive to achieve a net profit of 180 million yuan, an increase of 22.50% over the same period last year. two。 We will continue to implement the strategy of horizontal diversification: expanding to Baidian and automobile structures. 3. Marketing strategy: key customer strategy to reduce the proportion of individual customers. 4. Control risk: continue to increase the recovery of accounts receivable.
Performance will improve with demand. 1. The profits of downstream black electricity enterprises will be better than last year, and the demand for black power components will recover. two。 The income of white electricity and automobile structural parts will grow at a high speed. 3. After listing, the management of the company will be more standardized, and the brand awareness of industrial design will also be improved.
Maintain the "overweight" rating. We expect the operating income of Yichang to grow by 31%, 21% and 22% respectively from 2011 to 2013, and the net profit of shareholders belonging to the parent company will increase by 31%, 24% and 20% respectively. In 2011, PE was 28 times, and the compound growth rate in the next three years was about 25%. At present, the company has a reasonable valuation and is temporarily rated as "overweight". It is recommended to pay attention to waiting for investment opportunities for a long time.
Risk tips: (1) downstream demand did not recover as scheduled; (2) the process of diversification was slower than expected.
