The company released its 2017 annual report, with operating income of 1.515 billion yuan during the reporting period, an increase of 32.70% over the same period last year, and a net profit of 163 million yuan, an increase of 26.77% over the same period last year, with basic earnings per share of 0.13 yuan.
Component sales grew steadily, and the layout of the whole industry chain: in 2017, the company realized component sales of 846 million yuan, an increase of 25.80% over the same period last year. At present, the company has six production bases, which are laid out in the whole photovoltaic industry chain. at the same time, it also sets up the raw material structure of photovoltaic glass and bracket, completes the coordination and mutual supplement of the industrial chain, and brings good cost control and anti-risk ability. contribute to the company's long-term and stable growth.
EPC revenue has increased significantly, and the cost advantage is significant: the company achieved 232 million yuan in engineering revenue in 2017, a substantial increase of 548.95% over the same period last year. The company has an integrated advantage in the field of power plant EPC, can provide customers with components, design, installation and follow-up operation and maintenance of integrated services, has a strong cost competitiveness. The company has the advantage of industrial resources in the northwest region, and contracts the EPC project of surface power station and poverty alleviation power station nearby in the industrial settlement area, and accumulatively accepts power stations and completes the grid-connected EPC project about 61MW in 2017, which is expected to maintain a good growth trend in the future.
The continuous development of its own power station will become a performance support: in 2017, the company achieved 249 million yuan in electricity revenue, an increase of 22.44% over the same period last year, and the gross profit margin remained at a high level of 62.76%. By 2017, the company's self-owned and shareholding grid-connected power stations have been close to 400MW, including self-supporting power station project 326MW. The company continues to expand in the field of surface power stations, as well as distributed and photovoltaic poverty alleviation projects. At the beginning of 2018, the scale of ground power stations under construction exceeds 140MW, and it is expected to achieve a new grid-connected scale of 100-200MW for the whole year.
The company plans to operate the power station scale no less than 1GW in the future, and the power plant operation will become the most important guarantee for the company's performance.
Profit forecast: the company's EPS from 2018 to 2020 is expected to be 0.18,0.23 and 0.29 yuan respectively, maintaining an overweight rating.
Risk hint: power station and EPC business development is not as expected; photovoltaic installed capacity is not as expected