Events:
The company issued a 2018 restricted stock incentive plan (draft), which intends to grant 28.49 million restricted shares to a total of 98 people.
Employee shareholding + restricted stock incentives, interest binding to promote the development of the company.
The company has issued two employee stock ownership plans, accounting for 3.5% of the company's total share capital, with nearly 2000 employees. The number of restricted shares to be granted this time accounts for 2.13% of the total share capital of the company, and a total of 98 people are encouraged. The total number of shares awarded for the first time is 22.79 million shares, and the grant price is 6.50 yuan. The assessment target of lifting the sales restriction is that the company's net profit in 18-20 years is not less than 20 yuan, 25 yuan and 3 billion yuan respectively. After the restricted stock is granted, the interests of employees will be further bound to the interests of the company to promote the development of the company.
Ecological and environmental protection PPP projects have won the bid one after another, with abundant funds and financing standards to ensure the landing of the project.
Since 2018, the company has won six eco-environmental protection PPP projects with a total investment of 7.684 billion yuan. The company adheres to the consistent concept of "committed to the construction of ecological environmental protection in China". Winning bids for multiple projects is the embodiment of the gradual landing of the strategic planning of the company's ecological and environmental protection business, and the concrete practice of the company in practicing ecological civilization and building a beautiful China. As the PPP of the company pays attention to the quality of the project itself, abundant funds and standard financing, the balance of cash and cash equivalents is still nearly 10.9 billion yuan at the end of the first quarter of 2018, which ensures the steady progress of the winning project of the company. The release of documents 92 and 23 of the Ministry of Finance has not had a material impact on the company, and we are still optimistic about the stable landing of existing projects and the continuous acquisition of new orders.
Maintain a "buy" rating.
We continue to be optimistic about the development of the company's "new energy + environmental protection" two-wheel drive. It is estimated that the company will make a net profit of 994 million yuan in 18-20 years (933 million yuan in non-recurrent profit and loss from the sale of real estate business in 2018, if taken into account, the net profit is 1.928 billion yuan), 2.029 billion yuan and 2.553 billion yuan, respectively, and the corresponding three-year deduction of non-EPS is 0.74,1.52,1.91 yuan respectively. Give the company 22 times PE in 2018, maintain the target price of 16.28 yuan, and maintain the "buy" rating.
Risk tips: high financing costs slow down the development of the project; PPP project gradually brings financial expenses, debt ratio increase; PPP project order is not as expected.
