Core ideas:
Film equipment leader strong development, the exhibition greatly catalyzes the company's orders. Since its inception, the company has focused on the field of membrane equipment, a wide range of downstream applications (including gun antirust packaging film for military industry, plastic film and greenhouse film for agriculture, infusion bags for medical use, high-end video packaging film, geomembrane for landfill / hydraulic engineering / highway and high-speed railway seepage prevention, automobile fuel tank, stone paper, etc.). At present, the company is the first in China and the fifth in the world in the field of membrane equipment. Due to the obvious exhibition characteristics of the industry, there will be a large number of new customers after each large-scale exhibition. The company attracted a large number of customers at the Guangzhou Exhibition in May 2017, and more than 200 customers visited the company's factory equipment and membrane products. Among them, the biaxially stretched film production equipment that can replace imports has attracted much attention, and follow-up orders are worth looking forward to. The company's revenue in the first quarter of 2017 reached 95 million yuan, an increase of 56.46% over the same period last year, and the net profit after deducting non-return was 0.06. the net profit from January to June 2017 reached 2776.29-34.8298 million yuan, an increase of 10% 38% over the same period last year. In terms of future development, the company signed a "Strategic Partnership Agreement" with Siemens in November 2016 to give full play to the advantages of the company's equipment and Siemens automation software to combine in the field of digital manufacturing in the thin film equipment industry. to provide technical services and overall solutions for thin film production enterprises, Jin Mingyun big data intelligent service platform equipment reached more than 60.
BOPET optical substrate import substitution, 2017 is expected to contribute to the performance. Company membrane products:
BOPET optical substrate, food packaging film, military film, agricultural film. The high-end optical film is produced by the wholly-owned subsidiary far East Light and Chemical Co., Ltd. At present, the technical transformation project of BOPP/BOPET biaxially oriented film production is progressing smoothly, and the optical substrate film has been successfully produced; optical thin film has a wide range of applications, and liquid crystal display is the largest source of demand. In 2016, the global shipping area of LCD panels was about 130 million square meters, and the demand for polarizer, backlight mode optical film and protective film reached 40 billion yuan, 10 billion yuan and 5 billion yuan respectively. After the technical transformation project of the far East Light and Chemical Industry reaches production in the future, it will contribute a net profit of about 25 million yuan per year. High-end food packaging film, military film, agricultural film and other high-end functional films are produced by Jinjia New Materials, a wholly-owned subsidiary, and have been successfully opened in civil, medical, military and other markets. and successfully launched in many regions around the world, multiple batches of product proofing, samples and other work, the products have been recognized by customers at home and abroad, laying the groundwork for the next opening of the high-end film market.
Employee shareholding + the participation of major shareholders will increase, and the company has a strong driving force for development. 1. The company issued a non-public offering plan in September 2016, mainly for the construction of special multi-functional membrane intelligent factory project, agricultural ecological membrane intelligent equipment project and cloud big data intelligent service platform three major projects. It is proposed to issue no more than 50 million additional shares, raise no more than 506 million yuan, and Mr. Ma Jiazhen, general manager, subscribe for no less than 100 million yuan and no more than 200 million yuan.
2. The company completed the employee stock ownership plan purchase in November 2016, with a leverage ratio of 1:1, the average transaction price was 19.21 yuan, and the number of shares bought accounted for 1.68 per cent of the company's total share capital. The participants in the employee stock ownership plan include directors, supervisors, senior managers and the company's core technical personnel, and this incentive will greatly improve the future development of the company.
Profit forecast and valuation: with the launch of new products of the integrated company, we believe that at this time, the company's management has improved, the growth is prominent, and the core management is fully motivated, the company is expected to start a new round of growth cycle. We estimate that the EPS of the company in 17-19 is 0.3,0.51 and 0.69 yuan respectively, and the current stock price corresponds to 47.5,28.3,20.9 times PE. Cover for the first time, giving a "highly recommended" rating.
Risk hint: new product launch does not meet the expected risk, macroeconomic risk.
