Core ideas:
There is a huge gap in the coverage of cold chain logistics in China, which provides a huge background and space for the long-term growth of the company. After the new leadership team of the company takes office, based on the "transformation-upgrade" strategy, vigorously implement a series of measures of "high-quality asset integration-business model innovation". We believe that, marked by the relocation and landing of the new plant in May 2017, the company's phased layout preparation has been completed, and at the current time, the company has stood at a turning point from years of silence to rapid upward growth.
Main points of investment
1. A view different from that of the market:
Daleng shares have twice carried out restricted stock plans and completed Zhonghuida's increase in its holdings at the group level, the company has undergone transformative changes. The change comes from the company itself, not just from the cold chain or the retail industry. It is suggested that investors should not only pay attention to the development potential of Fuji iceberg vending machine business, but also pay more attention to the growth potential of parent and subsidiary companies and even the entire listed company based on the "transformation-upgrade" strategy.
two。 The grand strategy of "transformation & upgrading" is embodied in "the upgrading of the refrigeration business of this department" and "the transformation of Wuleng to new business".
Since 2014, through the continuous acquisition of high-quality assets in the industrial chain, listed companies have completed the capacity layout of the industrial chain from upstream procurement, raw materials, key components and refrigeration equipment to complete engineering, sales and services. the refrigeration business of this department has been continuously optimized and upgraded.
In addition, with the help of the relocation of the new plant in the first half of the year, the production automation rate has been greatly improved, and the structure and process have been greatly optimized. The refrigeration business has been extended and upgraded from equipment manufacturing to services, and the first computer room hosting business contract was signed in the first half of 2017, contributing 1.2 million yuan to the annual income. According to the company's historical sales of compressors, there are hundreds of potential customers of the same size. In the future, based on hot and cold big data technology, the company is expected to develop more new businesses.
After Wuleng was incorporated into the listed company, it firmly promoted the new business represented by the natural gas pipeline network pressure energy recovery power generation system, which grew by 50% in the first half of 2017. and the gross profit margin (30%) is higher than the old business (22% of the refrigeration compressor system). At the same time, the old business of the original class will not be discarded and will move to the cold headquarters. Under the transformation between the new and the old, it is expected to recreate the same volume of Wuleng.
3. Important growth points for other companies:
We believe that with the help of Dalian, an important gateway city for business communication between Chinese and Japanese enterprises, the company has formed a stable and mutually trusting partnership with Panasonic and Fuji Motor for many years. Although this report is not discussed in detail, it can be found from a number of associates of the company that they are good cases of business development between the company and Panasonic and Fuji iceberg in China. We believe that in the future, the company will still fully benefit from the good cooperative relationship with Panasonic and Fuji Motor, and create more performance growth points for the company.
4. Profit Forecast:
It is estimated that in 2017-19, the company will achieve a net profit of 2.3,3.1,420 million yuan, EPS0.27, 0.36,0.49 yuan, corresponding to PE 29X, 21X, 16X, given a "recommended" rating.
5. Risk Tips:
The demand growth rate of the refrigeration equipment industry is not as fast as expected.
