Event
The company recently released its 2016 results, KuaiBao, with a total operating income of 222 million yuan, an increase of 40.83%, an operating profit of 95.44 million yuan, an increase of 424.36%, and a total profit of 97.81 million yuan, an increase of 323.06% over the same period last year. Net profit belonging to shareholders of listed companies was 84.61 million yuan, up 290.13% over the same period last year; basic earnings per share was 0.34 yuan, up 290.14% over the same period last year.
Major asset restructuring, performance has been greatly improved
In 2016, the company's revenue increased by 40.83% over the same period last year, and its net profit increased by 323% over the same period last year. The rapid growth of performance mainly includes two reasons:
(1) during the reporting period, the company completed a major asset reorganization of Nanjing Port Longtan Container Co., Ltd., which changed from a shareholding company to a holding company and was included in the scope of the company's annual consolidated statement, as a result of the expansion of the scope of the merger, operating income, operating profit, total profit and net profit belonging to shareholders of listed companies increased by 40.83%, 424.36%, 323.06% and 290.13%, respectively.
(2) the loading and unloading business sector of oil products and liquid chemicals is expected to achieve an increase of about 15% and 20% over the same period last year.
We expect that the company's oil products and liquid chemical business will continue to grow, while benefiting from the global shipping recovery, the recovery of container business, especially inland container business, will be further accelerated. To achieve "oil chemicals + containers" two-wheel drive, superimposed shipping industry to accelerate recovery, macro good to help the company move forward quickly.
The merged Longji company was established in April 2000, mainly engaged in container loading and unloading and disassembly, LCL, repair, cleaning services and so on. In 2013 and 2014, the container throughput of Longji Company was 240.04 TEU and 249.56 TEU respectively, accounting for 27.87% and 28.53% of the container throughput of the main ports of the Yangtze River. In 2013, 2014 and 2015, Longji's operating income was 357 million yuan, 398 million yuan and 420 million yuan respectively, and its net profit was 68.9259 million yuan, 79.0082 million yuan and 7418.55 million yuan respectively.
The company's share of business revenue in 2015 and the first half of 2016:
The revenue from crude oil loading and unloading business was 72 million yuan and 34 million yuan respectively, accounting for 45% and 37% respectively; the revenue from refined oil loading and unloading business was 34 million yuan and 31 million yuan respectively, accounting for 27% and 33% respectively; and the revenue from liquid chemical loading and unloading business was 43 million yuan and 27 million yuan respectively, accounting for 21% and 29% of the company's business in 2016. The income of refined oil and liquid chemical industry increased rapidly.
In addition, Jiangsu Province held a symposium on speeding up the development of transportation in Jiangsu Province at the end of 2016 to listen to opinions and suggestions on the establishment of provincial port groups. After the establishment of Jiangsu Port Group, Nanjing Port will be the most direct beneficiary. Prior to this, Zhejiang Province established Zhejiang Seaport Investment and Operation Group Co., Ltd. (Zhejiang Seaport Group) on August 21, 2015. The group is used as a platform to integrate and unify the port companies of Ningbo Port, Zhoushan Port, Jiaxing Port, Taizhou Port and Wenzhou Port in the province. Since its establishment, the operation effect is good, which is of reference significance to Jiangsu Port Group.
Economic hinterland advantage
The company is located in the most economically developed and active Yangtze River Delta region in China, relying on the central city status of Nanjing and the geographical advantages of economically developed regions such as southern and central Jiangsu. In particular, the development of many large petrochemical enterprises in the vicinity, such as Jinling Petrochemical, Yangzi Petrochemical, Yangba Company, Nanhua Group, Yizheng Chemical Fiber, etc., makes the business growth trend obvious.
The lower reaches of the Yangtze River Economic Belt is an important transportation hub and logistics center in East China. It is "Belt and Road Initiative".
The node of the strategic intersection area of the strategy and the Yangtze River economic belt. Limited by the navigable clearance height of the Nanjing Yangtze River Bridge, Nanjing Port is the farthest port that a 10,000-ton seagoing ship can berth after entering the Yangtze River, which makes the company have better collection and distribution conditions than other ports. The implementation of the strategy of the Yangtze River Economic Belt shows that the state policy supports actively promoting the construction of the Yangtze River Economic Belt, carrying out major projects such as the regulation of golden waterways and ports along the river in an orderly manner, and building a comprehensive three-dimensional channel.
To build a container "one hub, three centers" + petrochemical logistics center company asset reorganization into the existing molding business scale and influence, improve multi-cargo port loading and unloading, warehousing services, expand port and shipping transportation, port logistics, port machinery manufacturing, waterway engineering and asset management and other industrial assets. The company's main business increases container loading and unloading business on the basis of loading, unloading, storage and transit of crude oil, oil products and liquid chemicals.
The strategic goal of the development of container business is to build "one hub and three centers", namely, the hinterland container hub port for domestic trade container transportation, the near-ocean container distribution center, the ocean container collection and distribution center, and the logistics distribution center. it has become the first Yangtze River-sea transshipment port connecting containers in the Yangtze River basin to the coast and to the Asia-Pacific region.
The strategic goal of the development of crude oil, oil products and liquid chemicals business is to develop into a liquid petrochemical storage and transit center in the middle and lower reaches of the Yangtze River, relying on the comprehensive logistics function of the port.
Signs of global shipping recovery will lead to a recovery in the industry
Since February 14, the BDI index has rebounded sharply, and the Baltic dry bulk Freight Index (BDI) has risen continuously, breaking through the 1100-point mark on March 14, rebounding 62.3% from its lowest point. In February, the container throughput of ports nationwide was 1538.0 TEU, up 7.8 percent from the same period last year, and the cargo throughput of ports nationwide was 913 million tons, up 10.1 percent from the same period last year. The report on the situation of Waterway Transport in 2016 and 2017 released by the Shanghai Shipping Exchange pointed out that with the accelerated growth of the world economy and international trade, the growth of global container transport demand will continue to expand, which is expected to increase by about 3% in 2017. Under the environment of shipping warming, the port throughput will also increase, which is conducive to the good development of the port shipping plate.
Profit forecast and investment suggestion
It is estimated that the net return profit of the company from 2016 to 2018 is 81 million yuan, 129 million yuan and 155 million yuan respectively, and the EPS is 0.22,0.35,0.42 yuan respectively, and the corresponding Pmax E is 86x, 54x and 45x, respectively. The company's asset restructuring is incorporated into the container handling business and integrates the company's business chain. in addition, the shipping industry as a whole is showing a warming trend, and its performance is expected to continue to grow at a high speed. 60x is valued and the target price is 21 yuan in 2017. it is recommended to "increase" the rating.
Risk hint
Integrate with the company's business integration and enterprise management risk; natural, accident risk.