Conclusion and suggestion: in 2010, the company's float glass business showed high before and after low, while the relatively stable gross margin of Low-e glass still has room to improve, especially after the company's low-e production capacity doubled in 2012, the company's performance is expected to grow rapidly. However, due to the current interference of real estate policies in the building materials industry, the company's operational difficulties and industry uncertainty will increase in the future, and the overall valuation of the building materials industry will be under pressure to lower, which will be a drag on the company's valuation in the short term. At present, the A-share price is 24.4x and 18.9x, PB4.6 times, the share price has reflected the high growth of the company in the next two years, and the investment advice given to the holding; B shares in 2010, 201B shares Pmax E is 10.9x and 8.4x, PB is 2.1x, the same investment advice is given.
In the first quarter of 2010, the company achieved revenue of 1.56 billion yuan, YOY growth of 79.1%, net profit of 300 million yuan, and YOY growth of 384.2%. EPS0.24 yuan.
The price of float glass is still high, but due to the concentrated release of new and resumption production capacity in the second half of the year, it is expected that the driving force for glass prices to continue to rise in the future is limited. In addition, due to the increase in the price of soda ash, the company's production costs will show an upward trend. Although the company's float glass business can still maintain a high growth rate in the first half of 2010, the gross profit margin of float glass business is expected to decline in the second half of the year.
The prospect of LOW-E glass is promising for a long time, and the golden development stage has just begun. Compared with 90% of developed countries in Europe and the United States, the penetration rate of energy-saving glass in China is less than 10%. In the long run, there is a huge capacity gap. It is expected that the company's low-e orders will reach 30% in 2010, an increase of 10 percentage points. The average price of the company's orders will be raised. In 2012, the company's Low-e production capacity will reach 23.2 million square meters, nearly doubling its production capacity. In the future, it will share the feast of China's Low-e glass demand growth. Polysilicon is of excellent quality, contributing profits have bottomed out and rebounded, and future costs can still be reduced. At present, the company produces about 100 tons of polysilicon per month at a cost of $40 / kg and a market price of $50 / kg. Polysilicon business has made a profit.
The company is expected to achieve revenue of 7.18 billion yuan and 8.45 billion yuan in 2010 and 2011, an increase of 36% and 17.7% over the same period last year. In 2009 and 10 years, the net profit was 1.08 billion yuan and 1.4 billion yuan, an increase of 30% and 29.2% over the same period last year, and the EPS was 0.875 yuan and 1.13 yuan respectively.
