Events:
Tianjin Film Technology released its performance KuaiBao, with a total operating income of 749 million yuan in 16 years, an increase of 23.91% over the same period last year, and a net profit of 47.396 million yuan, down 10.39% from the same period last year.
Main points of investment:
Revenue increased steadily, growing by 40% in a single quarter in the fourth quarter. the increase in R & D expenses and interest and the decrease in non-operating income affected the profit level.
The company's operating income continued to rise steadily, with a year-on-year increase of 23.91%, of which revenue in the fourth quarter was 353 million yuan, an increase of about 40% compared with the fourth quarter of 15, and revenue growth accelerated significantly.
The R & D expenditure continued to increase, reflecting that the management cost reached 122 million yuan in 16 years, an increase of 13.87 million yuan over 15 years. The financial cost was 26.48 million yuan, an increase of 9.18 million yuan over 15 years. At the same time, the non-operating income was 9.17 million yuan, which was 16.31 million yuan lower than that of 15 years, and the 15-year non-operating income was mainly R & D funding.
Over the past 16 years, the project expansion has accelerated, the orders on hand are full, and the performance is expected to grow faster. Over the past 16 years, the company has gradually developed to PPP, BOT and other new models, and the remote expansion has obviously speeded up. In June, it won the bid for the Ningxiang PPP project, won the bid for Xi'an Weibei EPC project in August and signed the Guizhou Ziyun County PPP investment framework agreement. In December, it established a joint venture with Jiucheng Environmental Protection Company in Jiujiang City, and signed a cooperation agreement on sewage treatment in Liupanshui. In January 17, the Xinjiang Industrial Park sewage treatment Plant won the bid and established a joint venture with Shenglian Energy Saving in Jizhou Salt Chemical Circular economy Park.
Since June, the project has won the bid for about 540 million yuan, the cooperation framework agreement is about 1.5 billion yuan, and a joint venture company has been set up in two prefectures and cities, while the 15-year engineering business income of the company is only 435 million yuan, which shows greater flexibility in future performance growth.
Research and development costs are expected to be stable
In 15 years, the company was approved as the "State key Laboratory of membrane Materials and membrane Application", and became the only enterprise in the industry with the state key laboratory of membrane materials and membrane applications. at the same time, the R & D expenses increased gradually in 15 and 16 years, and the R & D expenses in 14-15 years were 38.93 million yuan and 68.62 million yuan respectively.
The cost of R & D in the past 16 years continues to increase on the basis of 15 years. Considering that the key laboratories have been approved for more than a year and tend to be stable, the R & D expenditure for 17 years is expected to be stable.
In the process of acquiring Jiangsu Kemi and Jinqiao Water Science, there is strong cooperation, and it is optimistic that the company's future development company plans to acquire 1.427 billion yuan of shares in Jiangsu Kemi and Jinqiao Water Science. At present, it has received feedback from the CSRC on the review of the administrative license project. The acquisition of Jiangsu Cami will consolidate the technical advantages of the company's membrane products, with a net profit of 60 million yuan, 75 million yuan and 93.75 million yuan in 16, 17 and 18 years. The merger and acquisition of Jinqiao Water Division will further enhance the company's engineering capacity. Jinqiao Water Department is fully qualified in design, general contracting and engineering consulting. It is a well-known water treatment engineering company in Northwest China, with net profits of 25 million yuan, 32.5 million yuan and 42.25 million yuan in 16, 17 and 18 years. After the completion of M & A will significantly enhance the company's profitability, at the same time, strong cooperation with the business of listed companies, optimistic about the further development of the company in the future.
Maintain the recommended rating
Assuming that the company completes the acquisition in the middle of 17 years and begins to consolidate in July, it is estimated that the EPS of the company from 2016 to 2018 will be 0.13,0.37 and 0.66 yuan respectively, corresponding to the current stock price of 138,38 and 26 times PE from 2016 to 2018, respectively. Considering the core competitiveness of the company's membrane products, there is strong business cooperation between the merger and acquisition and the target, there is more room for future performance development, and the "recommended" rating is maintained.
Risk hint
The progress of the project is not as expected, the acquisition and integration are not as expected, etc.