Core ideas:
The company is one of the domestic leaders in the deep processing of ethylene oxide
Cologne Refining is mainly engaged in the R & D, production and sales of fine chemical new materials with ethylene oxide as the main raw material. at present, it is one of the leading enterprises in China to provide high-quality products and professional services in the industrial chain from polyether monomers to polycarboxylic acid high-performance superplasticizers. As of June 2014, the company has polyether monomer / solar silicon cutting liquid (polyether monomer, solar silicon cutting liquid and other products can share production equipment, so the production capacity statistics) production capacity of 120000 tons, polycarboxylic acid superplasticizer (including concentrate and pumping agent) 67000 tons.
Polyether monomer and polycarboxylic acid superplasticizer are the main business.
From the composition of the company's income and gross profit in recent years, it can be seen that polyether monomer and polycarboxylic acid superplasticizer are the main sources of income and gross profit of the company. In 2014, H1, polyether monomer and polycarboxylic acid superplasticizer accounted for 59% and 28% of income, respectively, and accounted for 52% and 38% of gross profit, respectively.
Industry analysis: abundant supply of ethylene oxide; great development potential of polycarboxylic acid superplasticizer
The industries involved in Cologne Refining have the following characteristics: (1) the supply of ethylene oxide in the upstream commodity is increasing obviously, and the market is generally in a state of abundance; (2) the development potential of polycarboxylic acid superplasticizer in China is great, and the output of polycarboxylic acid superplasticizer is increasing rapidly, and its proportion is gradually increasing; (3) solar cells drive the development of crystal silicon cutting fluid, and the photovoltaic industry has warmed up. Outstanding core competitiveness of the company: (1) has a complete industrial chain; (2) deeply ploughs ethylene oxide fine chemical industry, and has outstanding R & D strength; (3) differentiated management to gain competitive advantage; (4) close to the producing area of ethylene oxide, the supply of raw materials is guaranteed.
Fund-raising projects break the bottleneck of production capacity and lay the foundation for development
The fund-raising project will increase the production capacity of polycarboxylate superplasticizer by 100000 tons, an increase of 1.5 times, which will effectively break through the capacity of the company and lay the foundation for the follow-up development of the company.
Profit forecast
We predict that the net profits attributed to the parent company from 2014 to 2016 will be 63.28 million yuan, 75.04 million yuan and 91.07 million yuan respectively. According to the total share capital of 68 million shares after the issue, the earnings per share from 2014 to 2016 will be 0.93,1.10,1.34 yuan respectively.
Risk hint
Raw material supply and price fluctuation; polyether monomer and superplasticizer price fluctuation; fund-raising project is lower than expected.