Mechanical finishing leading enterprises, accelerate the layout of auto parts business. The company is a manufacturing enterprise mainly engaged in mechanical finishing, and its main business is divided into household appliance parts and industrial products represented by power tools, auto parts and hydraulic parts. The company has high market competitiveness in the washing machine clutch industry, and its main customers include Whirlpool, Samsung, TCL and other well-known washing machine manufacturers at home and abroad. In terms of power tool parts, the company has established a stable cooperative relationship with well-known power tool manufacturers such as Muda, Hilde, Bosch and so on. With the cooperation projects between the company and HUSCO, BergWarner, Schaeffler and other companies have been determined, auto parts are expected to become a new growth point for the company.
Income has increased steadily and profits have increased significantly. The company's operating income reached 1.292 billion yuan in 2017, an increase of 15.63% compared with the same period in 2016. CAGR was 1.77% in 2011. In terms of net profit, the net profit in 2017 was 100 million yuan, an increase of 13.52% over the same period last year. CAGR was 46.78% in 2011. Net profit continues to grow, and the gross profit margin and net profit margin continue to rise.
The household appliances and power tools industry is growing steadily, and the auto parts business is expected in the future. Shipments of wave washing machines in China reached 30.19 million units in 2016, and CAGR in 2006-2016 was 9.17%, maintaining steady growth, and the proportion of wave washing machines in the industry also increased from 43% to 51%. As consumption escalates, demand in the Asian market is expected to open further. With the transfer of the global parts industry to China and the rapid rise of new energy vehicles and self-branded cars, domestic auto parts enterprises fully enjoy the industrial dividend. In 2017, the company's auto parts production reached 9.2404 million and sales reached 8.7958 million. Production increased by 40.24% over the same period last year, and sales increased by 34.50%.
The development of "specialization and intensification" opens a new chapter in the development of the company. ① has increased its investment in R & D. the company's R & D expenditure was 49 million yuan in 2017, and the CAGR in 2012-2017 was 65.05%. The proportion of R & D investment also increased from 0.4% in 2012 to 3.79% in 2017, and the company's degree of automation increased steadily. ② 's orders are growing steadily and its production capacity is constantly expanding. At present, the company has four factories across the country, and the scale effect is becoming more and more obvious. ③ maintains a dominant position in the domestic market and continues to explore overseas business. ④ borrows the Dongfeng of new energy vehicles to create the second main business of auto parts.
Profit forecast and rating: the company's net profit from 2018 to 2020 is expected to be 1.20,1.49 and 175 million yuan respectively, corresponding to EPS of 0.61,0.76 and 0.89 yuan per share, and corresponding PE of 30,25 and 21X respectively. Coverage for the first time, giving the company a "recommended" investment rating.
Risk hint: raw materials rise, industry growth declines.
Comment(0)
Reason For Report