The company's results in the first three quarters of 18 years increased by 63.0% compared with the same period last year, approaching the upper limit of the performance forecast.
The company released its quarterly report for 18 years, with operating income of 2.802 billion yuan in the first three quarters of 18 years, an increase of 76.1% over the same period last year, and a net profit of 149 million yuan, an increase of 63.0% over the same period last year. Among them, the company achieved operating income of 960 million yuan in the third quarter, an increase of 20.9% over the same period last year, and realized a net profit of 49.93 million yuan, an increase of 78.9% over the same period last year. The company forecast third-quarter results of 42 million to 50 million yuan, and the third-quarter performance was close to the upper limit of the performance forecast. The company's gross profit margin in the third quarter of 18 was 27.9%, down 0.9% from the same period in 17 years. The rate of management expenses in the first three quarters of 18 was 11.7%, which was related to the reduction of the scope of management expenses caused by the separate listing of R & D expenses in the three quarterly reports. the adjusted management expense rate of classifying R & D expenses into management expenses is 16.3%, which is the same as that in the same period of 17 years.
The growth rate of new products in fund-raising projects is relatively fast, and the economic benefits of Cakus NVH products remain stable.
In the face of industry changes, the company has actively transformed and upgraded to cope with the changes in market demand, and developed automatic transmission oil pumps, EHPS electro-hydraulic pumps, EPS motors, PEPS and so on. According to the three quarterly reports, the company's performance growth is related to the rapid growth of electro-hydraulic pumps, automatic transmission pumps, automotive electronics business and the stable economic benefits of Cakus NVH products.
Each new business provides a broad space for development, and the company is transforming into a comprehensive solution service provider.
We believe that the biggest focus of the company in the future is the electric pump with high technical barriers, and the double improvement of permeability and bicycle value brought by the market of electric pump, EHPS, EPS motor and gearbox mechanical pump will provide the company with broad space for development. In addition, the company has completed the acquisition of Cacus, a supplier of noise reduction and thermal insulation products, which is conducive to its product diversification and expansion of the global market. The company gradually began to provide system solutions, from steering system components suppliers to steering, transmission, braking, automotive electronics, car body and other systems integrated service providers of auto parts.
Investment suggestion
The company used to be the leader of automobile steering pump, and its management and profitability have been maintained at a high level for a long time. At the same time, the company has a number of automotive electronic technology reserves, electric pumps and other product projects are progressing smoothly, has broken through the steering system into the transmission and braking system. The growth of the company is high, and the company realizes the development of endogenous and epitaxial two-wheel drive after the acquisition of CCI. We estimate that the company's EPS for 18-20 years will be 2.09,2.79,3.41 yuan respectively, and the corresponding share price PE will be 15.6, 11.7, 9.6 times, maintaining a "buy" rating.
Risk hint
The growth of traditional main business is lower than expected; the expansion of new projects is not as expected; the risk of integration after the acquisition of CCI.