Reorganization to achieve the listing of Financial Control, showing a good momentum of development
The company's operating income in 2016 was 28.83 billion yuan,-6.28% compared with the same period last year, and the net profit was 5.535 billion yuan,-8.01% compared with the same period last year. 2017Q1 operating income 6.69 billion yuan, year-on-year-3.35%; return to the mother net profit of 1.44 billion yuan, year-on-year + 2.74%, showing a good momentum of development. The company has a full-license financial business system, relying on the synergy of the industry-finance combination of the controlling shareholder Petrochina Company Limited Group. PetroChina Capital will be listed through asset restructuring in 2016, docking the capital market, and the financial business will usher in a new round of development opportunities.
Actively promote the capital management of its financial subsidiaries
The company actively promoted the capital management of its Kunlun Bank and Kunlun Bank. The capital adequacy ratio increased from 13.12% and 14.19% at the end of 2015 to 17.32% and 16.65% at the end of 2016, respectively. The core tier one capital adequacy ratio increased from 12.01% and 13.07% at the end of 2015 to 16.26% and 15.49% at the end of 2016, respectively. The company actively promotes the risk management of a financial sub-section and fully monitors the capital adequacy ratio and capital use to meet the requirements of external supervision, credit rating, risk compensation and shareholder return.
The financial system, which has both depth and breadth, relies on Petrochina Company Limited's collaborative characteristic management.
The company's financial sector covers banking, financial companies, financial leasing, trust, insurance, insurance brokerage, securities and credit promotion and other areas, complete license, large-scale business. At the same time, the company relies on Petrochina Company Limited Group, the industrial chain has huge customer resources, each production and operation link contains rich demand for financial services, there is a broad space for the combination of industry and finance, and the company makes great efforts to expand the market of the industrial chain. give full play to the business familiarity with oil, gas and related industries, form a differentiated competitive advantage different from other financial enterprises, and effectively expand the depth and breadth of industry-finance integration. Enhance the value creation ability of financial enterprises.
The third batch of pilot selection for the reform of state-owned enterprises is launched, waiting for the spring breeze of a new round of state reform.
Yan Pengcheng, director of the Policy Research Office of the National Development and Reform Commission, said recently that of the two batches of national reform pilot projects carried out since 2016, the first batch of 9 reform pilot programs have been basically approved and are being implemented in an orderly manner, and are expected to make substantial progress and breakthroughs this year; the list of the second batch of 10 pilot enterprises has been examined and determined, of which 9 enterprises have formally submitted the pilot program, and it is expected that phased progress will be made this year. The selection of the third batch of pilot projects has been launched, mainly focusing on the reform of mixed ownership. This year is the year of the acceleration of national reform, and the transformation of financial control is one of the important trends in the financial field. The advantages of resource coordination, financing convenience and brand effect brought by financial control are becoming more and more prominent. Petroleum is one of the seven key areas of the mixed reform of central enterprises. as the only financial control platform under Petrochina Company Limited Group, the company will be the first to benefit from the new round of national reform.
Shareholder resources + full license financial control + actual circulation is small, maintain the holding rating
It is estimated that the company's net profit from 2017 to 2019 will be 100 million yuan on 64-72-77, corresponding to 0.70 EPS 0.77 plus 0.84 yuan respectively. Considering that the company relies on Petrochina Company Limited to play a synergistic effect, the sustained profits of financial assets are guaranteed; the lock-up period for this restructuring to issue shares to purchase assets and raise matching funds is three years, and the market value of the company's circulation is 5 billion yuan. excluding 60% of the shares held by major shareholders, the market value of the actual circulation is only about 3 billion yuan, and the actual circulation is small and flexible, which is the preferred target of funds. Maintain the overweight rating.
Risk hint: business synergy is not as expected, market volatility risk, transformation failure.