Incident: The company released its 2015 annual report on March 29. It achieved annual revenue of 555 million yuan, an increase of 7.89% over the previous year; net profit attributable to shareholders of the parent company was 53.7696 million yuan, an increase of 9.92% over the previous year; basic earnings per share of 0.24 yuan. Based on 224 million shares, the profit distribution plan for this year is to distribute a cash dividend of 1.00 yuan (tax included) to all shareholders for every 10 shares, 0.00 bonus shares (tax included), and to transfer 8 shares to all shareholders for every 10 shares using the Capital Provident Fund.
At the same time, the company announced its performance forecast for the first quarter of 2016. Net profit attributable to shareholders of listed companies is expected to be 42753-5.4968 million yuan, a decrease of about 10%-30% over the same period last year. The main reason is that due to market changes, the company's sales revenue declined slightly compared to the same period last year. At the same time, the estimated impact of non-recurring profit and loss on net profit was 1.3 million yuan, and the amount for the same period last year was 1.44 million yuan.
Reviews:
The liquid metal business began to contribute to revenue. As one of the earliest liquid metal research and development enterprises in China, the company has mastered the core technology of liquid metal products in materials, processes, equipment, etc., and is one of the few suppliers in the industry that have achieved commercial use of liquid metal precision structural parts in the consumer electronics field. The company's liquid metal has already been used in the field of small parts, and its technology in the field of molding large parts is already ahead of the US and Japan. In 2015, the company's liquid metal products achieved sales revenue of 35.216,700 yuan, accounting for 6.34% of revenue.
Financial expenses have declined, and the other two businesses have increased. During the reporting period, management expenses were 77.373,400 yuan, an increase of 19.30% over the previous year. The main reason was the increase in transportation costs and business development expenses due to the increase in the company's export business in the current period; sales expenses were 30.252,800 yuan, an increase of 62.71% over the previous year, mainly due to the increase in the company's wages and R&D investment; financial expenses - 1,582,800 yuan, a decrease of 148.61% over the previous year, mainly due to the increase in exchange earnings due to exchange rate changes.
Maintain the company's “buy” rating. The company has a complete industrial chain for the production of precision die-castings of lightweight alloys such as magnesium and aluminum alloys. Since entering amorphous alloys in 2010, the company has achieved breakthrough results. It has now formed mass production capacity for amorphous alloys, and amorphous alloys will become a new profit growth point for the company. According to the company's project progress, we expect the company's 2016-2018 EPS to be 0.28 yuan, 0.35 yuan, and 0.45 yuan respectively. Considering the company's higher liquid metal technology threshold, a certain premium will be given, 100 times that of PE in 2016, with a corresponding target price of 28.01 yuan to maintain the “buy” rating.
uncertainty. Market risk; technical risk; exchange rate risk; capacity investment risk.